Basically it is because the speed of light is so very very high which requires the wheel to spin very fast and/or have many narrow notches.
Fizeau used the wheel to "time" light as it travelled a distance of 16km. Light passing through one notch on its outward journey was blocked by the adjacent tooth when it returned, after the tooth had moved a very small distance. Even though the wheel rotated a few hundred times per second, it was still necessary to have 720 teeth in order to get the experiment to work.
If the wheel had only one narrow notch, it would still have to rotate at the same speed as if it had 720 teeth, but only $\frac{1}{720}$ of the same amount of light would get through when the notch is aligned for the outward and returning light. This makes it much more difficult to distinguish at what point this light is completely blocked out, because there is so little contrast between "light" and "dark".
Fizeau was able to know that the light was blocked by the adjacent tooth because he increased the speed gradually, observing the light get dimmer. When the transmitted light reached a minimum the first time he could be sure it was blocked by the adjacent tooth. When the 2nd minimum came because of the next tooth, this was when the wheel spun 3x as fast. The big difference in speed made it possible to be sure which tooth was blocking the light.
Reference : wikipedia article
see also How did Fizeau make his famous speed-of-light experiment? and How did Fizeau control the cog's rotations per second?