I agree with you. It depends on what the relegation triggers. For example, if you are being run by a Bill Kenwright and trapped in his culture of cloying, sentimental paupery, then a relegation can potentially run a fella out of town. It might be a reset then. But for us under an AWOL but desperate Moshiri who wanted out anyway, it would have been disastrous in all likelihood.
That said, his little dig at Everton is telling. Whether we want to accept it or not, many people see us as irrelevant to this day. And deep down there is a kernel of uncomfortable truth in that. Basically, it's the job of the Friedkins to transform us to the extent that we are no longer a punchline in other clubs' tales of woe.