I always found the Novel category nonsensical as you can put a stand alone story of 2k words in it and leave it at that, so it's not a novel. There have even been top 10 competition entries labelled as novels which were just a stand alone story.
Looking back through the Novels category, there are quite a number where even with chapters the whole lot doesn't amount to more than one decent length story.
I also agree it's a miscellaneous category.
But I would also say that there is a proliferation of other categories which are nonsensical too. What is the point of Occupations.. it is as scattergun as novels. Do people camp out there?
I do think readers attention spans have decreased. I don't know how many have the patience to read 15, 20 chapters or more. I certainly saw my readership drop off as the chapters continued.
For it to really mean something, it should be like a series award, it gets awarded and moved into that category when the novel is finished, not when you've submitted chapter 1 but that's not going to work so I voted to keep it as is.