Practical and Awesome or Worst Idea Ever?

I've been thinking a lot lately about changing the way we do towels in our powder room.
We moved the awful builder basic towel bar about a year ago, when we were going to wallpaper (that was postponed due to a purchasing error; possibly to be re-started this fall...) and then I decided I didn't want another bar. So I bought a cheapo towel ring, which is sitting in the cupboard cause I ended up getting a cute little stand in my suprise sample box from Princess House.
We've been using the stand ever since and while I love it, Cory apparently does not. His big hands find it awkward and he knocks it over all the time. Plus since my towels are big but folded down, they are snug on the stand and stay damp.
There's nothing nastier than drying your hands on someone else's damp towel spot. Yuck...
So I think it would be fantastic to try individual towels. We use them at work in the client washroom and I love everything about it.
1. There's nothing better than a crisp, white (dry) towel.
2. Let's be honest, this looks so chic! Plus, I have the room for it and the "discard" basket under the weird counter cut-out.
3. Yes it's more towels, but they are smaller and I would still only be doing full loads, so I don't feel wasteful.
What do you think? Is anyone doing this in their house already?
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EDITED TO ADD:   The photos above are of the client bathroom at work.  NOT our home!