^ I agree, to an extent.
It's happened before that someone from Halifax has raised an eyebrow when I mentioned a band, yet someone from Dublin knew exactly which I meant. Icelanders as well as Danes from Greenland were usually pretty good as well. Until the recent financial crisis, they would come over en masse to do their Christmas shopping in St. John's.
Assuming it's statistically true and not just an unfounded impression, I think there are two main reasons. Newfoundland's culture is so musical. A significant portion of the population is capable of creating music - be it singing, playing musical instruments, whatever. So there's just a lot of moderately and even quite talented musicians to choose from. It's not like there are one or two bands the city is pushing. There are dozens at any given time.
Also, I believe some Canadians have trouble accepting anything from Newfoundland that isn't kitsch. There's a reason that a caricature of traditional Newfoundland music like Great Big Sea becomes famous on the mainland while someone whose covers/music could be from anywhere - like Blue-Eyed Blond - doesn't.
And, one more video. Sarah Slean's video from Pouch Cove (pronounced Pooch) north of St. John's.
• Video Link
And her impression of N.L.: "...one of the most inspiring places on Earth.... It's impossible to be distracted from the powerful presence of Life itself here - the rugged land, the ever-changing weather, the magnificent, powerful ocean...it's a place to ponder the vast expanse of time before and beyond us, to ponder the wondrous marvel of being."