I'm in complete agreement. When I'm doing a dungeon for the first time and getting really into the story it's more than a little immersion breaking when there's players clad in a frog suit dyed a jarring shade of metallic.

The suggestion is also an excellent compromise - not everybody wants to see characters clad in skimpy glamour. If people want to push for such things to be available then they should be fine with there also being an option for such things to be hidden from view.