I'm with the OP on this. The point is, they're selling this transfer process as something wonderful and prize-worthy, but they didn't think it through. They've limited the number of servers you're ABLE to transfer to, and limited the number of characters per server to something unworkable. If you've got a full roster of 8 Republic characters on a server and another 8 Imperial characters on another server and are being asked (with prizes) to move all of them onto a server that only supports 8 character slots altogether, then what's the point of asking?
That's just one example. The point is.. BW's timing is messed up. Expand the number of characters per server, THEN offer transfers. THEN feel free to give me a vanity pet for my trouble.