@FlutterLove
Clothes in Equestria are the equivalent of our fancy clothing.
Ponies (in Ponyville to be more specific) don’t wear clothes casually
Which is why ponies in fancier cities like Canterlot and Manehattan always wear clothes because of the more upscale atmosphere and why the clothes seen worn are fancy as well
@Whatevs
In short, it’s no less impractical than making a nice suit for someone. Not to mention that gifts (in the typical sense) typically are frivolous and not practical.
Toys, games, clothes, gift cards etc are not practical gifts yet they are the most popular.
@archestereo
Hats are both fashion and practical. A wide brim like AJ’s shields a pony’s head from the sun and makes them more comfortable. Hayseed (the old carter/gardener background pony) usually wears one, too, and for similar reasons.
@archestereo
Applejack did say this one line and ever since then Applejack is just there for the comedic value of Rarity’s hobby. At least in my opinion.