That resets the wand, just like other locations which you can solo. It's not like you have to keep grinding that same tough location. I think that trying to develop a culture of group mini-quests for tougher wand spots is better than a culture of moaning about the said spots. CF isn't a one player game and RP interaction is generally fun, so in the best case scenario, having an occasional tough spot could even enrich the game in the RP front, working as an additional cause for forming an adventuring group.
Not to mention that this new system allows Imms better track on which locations are tough and adjust the spots if they deem it necessary. I dunno if I want to play CF any more, but the new wand system is something that is tempting me to roll a character and enter the fields again.