In a smart loot system in the case of DoS, once you get a good item for that slot, you basically will never find an item that surpasses it, until you increase in levels. This will happen quite quickly in DoS, and thus with slower leveling, there will be zero anticipation for the majority of the game.
In the current system, there still is anticipation of getting a good drop. You however are bypassing that system but not even bothering to identify items.
A smart loot system is designed for faster leveling with more incremental upgrades like Diablo 3, and even then it becomes mind numbingly boring quite quickly.
That's beside the point, as I don't think the target market for this kind of game is a smart loot system.
