I do not think for a second that standing ovations are overused at all by theatre audiences. They need some way of showing appreciation for a good performance. Of course, clapping and cheering is still the main and usual form of showing this appreciation but there is a measure of just how appreciative the audience are and this, while it can be measured by how loud the audience are clapping, has the superlative form of clapping known as the standing ovation, used only (certainly in my opinion) for those outstanding or exceptional performances where simply clapping does not seem enough.
Taking the information from my own experiences in live theatre, as a viewer as well as a performer, the standing ovation is still a very rare occurrence indeed. Maybe it is the case that I happen to have, in the main, performed in, or been in an audience of, only those shows which did not deserve a standing ovation and others beyond my own personal experiences have received undeserved or unwarranted praise. I do not think this is the case of course and I know first hand the feeling of exhaultation acquired from recieving a standing ovation.
Any live performance deserves a certain amount of praise but a standing ovation should be reserved for only the most exceptional of performances. I believe this is usually the case.
It is still thrilling for a performer or a group of performers to receive a standing ovation. Of all the awards for theatre, there is still no award more prestigious nor any better compliment which an audience can give. I believe it shows that the audience have not only enjoyed the show but have had an amazing theatrical experience worthy of their magnificent praise.
If a performance has had such an effect that the audience feels the performers deserve a standing ovation then this should still make the performers feel revered. It is not fair to claim that standing ovations are overused. Saying this makes standing ovations less important than they ought to be.
To me, personally, a performance which deserves a standing ovation would be something which has an emotional effect. It will usually be something to which the audience can easily relate but the performance itself, including the script and the capability of the performers to create an emotional, thought-provoking portrayal of a story, is the most important factor in deciding how good a theatre production is. Success can be measured in many ways but I would like to insist that any performance which receives a standing ovation has been a truly successful one.
I would have to put forward the argument that someone who truly believes that standing ovations are overused has not appreciated the performances which deserve such praise.