Personally, I click on the launch threads because they're part of the current batch: a clear indication that they're part of the current batch (rather than just a generic "launch HN" announcement) is much more valuable to me than the reference to the type of business. The "Launch HN" title is used by non-YC people, meaning these threads come across as non-YC threads than YC threads.

I think on balance you're probably right that excluding a startup from the title is a problem though -- so yeah, in hindsight, I think you made the right choice.