The cash shop is fine. There is nothing in the cash shop that is needed. It is ALL optional stuff, fluff and nothing. If folks want to throw their money away buying fluff and nothing, more power to them. It's kind of hilarious, listening to folks whine about how they MUST have this or that glamour, and how unfair it is that SE makes them pay real money for it. There are THOUSANDS of wonderful glamour options available in-game - but folks focus on the few in the cash shop like they're the only clothing in the world.
The paid retainer system is much more sketchy, as it confers distinct in-game benefits beyond just inventory space (extra Retainer ventures, extra marketboard slots). Complaining about that is justifiable; the cash shop, imo, is not.
On the topic of the Armoire, and whether it should be able to hold more items than it does, remember that a big design goal for this game was to exploit every possible opportunity to encourage folks to re-run old content. If an item can be re-acquired by grinding Sastasha (Hard), by golly they want you to grind Sastasha (Hard) - not just pluck it out of your Armoire. It is for this very reason that all those Primal furnishings were destroyed if you ever removed them. While they eventually changed their minds on that one, the original intent was to keep folks running Ex Primals. Tired of that gaudy Leviathan fountain on your lawn? Go ahead and remove it - and if you want it back again, be ready to spend some more quality time with Levi Ex! SE WANTS you to throw out your old glamour items, and if you decide later you want them back, to run the old content to replace them. Putting every possible piece of gear in the Armoire would undermine that goal.
The purpose of the Armoire is to hold gear that is NOT replaceable. Stuff where there is no dungeon you can grind to replace it, no tomestone you can buy it with. Every piece of gear in the Armoire either is, or used to be, something where if you dropped it on the ground, you would never see it again, ever. I don't see that changing, even if SE gives the glamour system the overhaul it so desperately needs.