I'll always pick and choose from either field; I am grateful to have options. It used to be a bit more varied when Takara tended toward show and Hasbro tended toward toy, but since the unification there's tended to be fewer options.
I missed out on basically the entirety of the G1 toy scene, save for a few very deep sentimental attachments to ones like Hardhead and Brainstorm (my uncle had them), Action Master Devastator and Scorpulator, and some Micromasters like Erector and the Construction Patrol. But part of that was poring over the gorgeous G1 catalogs (and eventually the Generations mook) and practically memorizing what the toys looked like. So there are many times when toy decos are an option and I'll end up picking them. Things like POTP Abominus over the Selects Abominus (the toy's white helmet and yellow visor are particularly striking in my memory). I was happy to make Selects Cyclonus my primary Cyclonus for the same reason; I still have the Kingdom one but I'll drop that yellowed version if and when a blue-violet-y one gets made. Especially if that somehow has a better face sculpt.
I occasionally get Toyhax stuff so I can make official releases more visually interesting or toy-based (bringing back old-toy sticker detail), and sometimes to help distinguish between versions (Wreck and Rule Collection Springer is now more G1-toy vs. SS86 Springer; I do wish the mold had bigger sticker-friendly surfaces).
But I do also enjoy a nice cartoon deco once in a while, mostly from the animated Movie (for likely similar reasons to many). I still want a more grid-based deco on Reformatting Galvatron, but the current one looks nice. I went and got SS86 Galvatron after much waffling because it captured that color scheme better. I was very glad to finally get a richly magenta G1 Hot Rod. I'm more than content with Earthrise OP (and got an SS86 OP), but if a Dramatic Capture OP showed up for a decent price I may be tempted.
Cartoon decos do tend to be simpler and more plain-looking as toys. Depending on the color scheme, that can be a good thing or a bad thing. (I'm typically not interested in cel-shading decos, so I've mostly passed on the ones that have popped up in official releases and Toyhax stickers alike.) And I'll agree with CoffeeHorse -- outside the pure "they remembered the thing" nerd joy of seeing deep-cut accessories like That One Whisk Gears Used To Make Eggs or Some Kind Of Bucket From Season 1, I'm not really pining for any episode- or moment-specific accessory. (This does not include items like Kremzeek or Paradise Parakeet.) The G1 toys had so many great accessories that gave them such a striking silhouette (the kids say "aura" these days too I think) and I do miss those.
Either way, there's so much appeal in either the visually-rich, sometimes-busy and certainly time-capsule-y sticker detail, as well as the occasional flatter, more vibrant cel-inspired colors.
I will say that irrespective of whichever deco the toy ends up having, I'd like for them to pivot more toward opaque plastic in these limited-budget days when they often have to pull double duty as structural parts.The nice look (which can be debatable) is just feeling less and less worth the breakage anxiety.