PVP:
There should be two types of servers, Non-PVP and PVP. The non-pvp will still allow users to do PVP against other players that wish to do PVP. There should be a short quest/button/device that alters your player and allows you to play PVP world wide. The best successful example of this is AC1. This allows players to "save up" funds and gear, whatever they need and enjoy PVP for a short time or all the time. There were very few flaws with this setup, groups could go PVP and fight each other, then return to non-pvp the next day. This removes some of the frustration that players would get on a full PVP server because they can always switch back, gain levels and return.
Items dropped on death also worked very well in this game. You would drop items based on their value. Finding low price gear and high price items, allowed you to keep your gear and drop the "death items"(high priced) when you died. Often the items were useless to the other players and left on the corpse. This allows players to use their nice gear they got and still makes dying hurt because you would loose the high price items that could be sold for money. After dying from pvp, allow the killed player a time period to log out, or escape the area so they can limit their time being "ganked."
Group quests:
Group quest rewards is an idea I had, I'm not sure if it is original, but a group(guild) will complete a quest allowing everyone within the guild to gain access to the reward. I got this idea because in FO3 there is a guy you can kill and take his tribal armor that looks unique. So the guild would complete a part of the quest to gain access to this armor, via a store or a person who hands the reward out, level restrictions etc apply. Now, the guild can complete another quest and it will allow them to improve the armor in some way, color, attributes etc... The benefits from this is that you can have "guild XXXX" where XXXX is an item, armor/weapon/etc. All of those members of the guild can purchase/collect the item from a source and will be able to use it. The guild comes into play by limiting the improvements to the item. If a restriction of 5 improvements can be made, but there are 50 to choose from, the guild will need to get together and select the best choices for them at that time and complete the related quests. This will bring guilds together in decision making and provide a reason to be in a guild. If your guild is a non-pvp group who likes to do quests, then maybe you pick improvements in that direction or if you are a pvp guild, you pick improvements for pvp.
Yes, guilds of 100+ players will have similar items, but if the selection of items is very large, and different improvements can be applied to different items, different players will have different armor but the color/style could remain the same giving the guild a unique look. The controls for these items can be given to the leader of the guild, so they have a job to do rather than sit around .
If you don't like the number of items available to your guild or the choices your guild makes, you can leave. Larger guilds will appear to have more options but this can be offset by making the tasks to complete the quest more difficult based on the guild size.