Many cities have a big fair that's widely popular for its state and surrounding states. As the above poster mentioned, it does attract a bigger crowd to the fair, since normally to attend these shows, you must also purchase a fair admission.
It's also a way for Kelly to gain more promo before she hits her tour.
Many big name artists have performed at fairs including Jordin Sparks, Sugarland and Carrie Underwood.
It's not a way of belittling them. They get more chances to showcase new material before hitting up a full fledged tour.
Don't be too quick to judge a fair. There's many events and exhibits that gathers many people, which can be a positive for Kelly if those people choose to purchase tickets to her show.