Disclaimer: The text below is a personal opinion of the author. If you have a different opinion, please share it
ICO causes more and more distrust - thanks to the scammers. At this point, companies that produce and sell tokens are more focused on the product. The product is being developed and improved. And all before the token sale.
The fact is: those companies that enter the token market with a readymade product are more trustworthy. Now, few people are interested in a company that launches ICO just to make a name and earn a lot of money.
ICO is a serious campaign. It requires great resources and professionalism.
There are many companies on this path. Recently, Pavel Durov announced the creation of a light wallet and the release of the Gram token on the Telegram platform. Here is another example - KickCity, a company that has existed for two years. KickCity is engaged in the development of the event industry and issues a KCY token for further expansion of the company.
What is more, you can get tokens for testing KickCity beta. You can get reward for testing this platform
https://kickcity.io/event/5a9d11030cf2cac8e081f3e8As long as there are bunch of people who invest in ICOs it won't stop or die just yet. Maybe if all companies adapt into blockchain and people can no longer think of anything to develop and/or improve in existing projects then maybe, just maybe, it will put an end to the ICO craze which I doubt. As for your point of view regarding existing companies with existing products and not just a plan (illusion) I totally agree with you. It is less risky than blindly invest in projects we know nothing of but just what they state in their whitepapers and websites.