I agree that cutting down the total number of games on the frontend, and introducing categories helps guests (a LOT actually). My own experience has been that the transition and selection phase are an overall downer. I like the idea of being able to browse games on the tablet while the current game is running. Maybe even pass the tablet around to queue up a "play list".
Probably the simplest solution is to set up the tablet as a second monitor (requires the use of an app like any of these:
http://mashable.com/2012/11/01/tablet-second-monitor/) with enabled mouse emulation (cuts out your trackball games though, unless MAME and your OS both support multiple mice).
Then set up the secondary tablet screen to show the frontend, and map the up/down/select etc., keys to any keys not used by the arcade panel. A super-simple GUI program with direction keys, select, pause, exit, etc., could be shown alongside the frontend and allow for tap controls.
That is all still pretty clunky, though. It's also not something that has safeguards for handing the tablet to a guest (for "browse only" purposes).
Seems like there should be a simpler way.