PVE Tier Sets are for the hard work, Arena Gear is what you put on as protection while playing a little paintball on off-work days to relax and have fun with friends.
No, but seriously ... pve > pvp in this game when it comes to looks of characters. There is a difference between killing big fat dragons and god-like creatures and looting gigantic treasures then banging on each others head for a few hours and then receive some armor to improve your performance in those skirmish situations.