At 7's format ABSOLUTELY. For people who aren't keen on rugby it's a lot more easier on the eyes as there is less physical contact. PLUS 7's has more world-wide competitors. It creates more interest in rugby as a whole. Countries that are developing in the sport could gain the support for funding. Argentina just made their way into the Tri-Nations (Now Rugby Championship) and it was great watching the the rugby they produced. Imagine other countries picking up rugby and creating top notch international competitions of their own. 7's format of Rugby in the Olympics could be a catalyst for something bigger in the rugby world.
Seven a side is a full Olympic sport – none of that 'demonstration sport' rubbish – from 2016. If you're asking *should* it be an Olympic sport, then the answer is 'no'. Sevens sucks.