You can still do fantasy and still have it rooted in reality.

The costume design for Lord of the Rings is a great example of this. The costumes were stunning in the movie, and if you've ever watched the behind the scenes footage, you can see just how much thought they put behind every element of a character's wardrobe. Everything had a purpose, every color palette had a meaning, even the type of stitching that was used was carefully considered for each character, depending on their background and culture.

Now I don't expect Final Fantasy to put the same amount of work into costumes as a movie would, because obviously, the costumes in a game aren't meant to be wearable in real life. So things like stitching patterns mean nothing.

But it would be nice if they considered things like, "What would someone be wearing if they were a fighter? A princess?" Rather than just trowing things together because it looks pretty or cool on paper.