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IMHO, the whole problem is the common juxtaposition in most peoples' minds of "fantasy" and "fairy tale". Until people at large realise that fantasy as a genre is capable of producing outstanding literature and is not just a collection of "Little Red Riding Hood" style stories, then fantasy films and the closely acquainted sci-fi genre, which (wrongly) is viewed as 'geek-TV' rather than potentially serious art, then the likes of LotR won't win anything.
To the guy on the street, and even the elitist film-makers, anything with elves or magic in it is something that you read to children at bedtime. You do not win awards for it. Until this perception is changed, nobody involved in fantasy writing will win anything at a mainstream awards ceremony, no matter how fantastic such writing is.
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