I lost a lot of respect for Nintendo when Play it Loud debuted, some (enough) were so bad I'd just flip the channel or turn the TV off they were so offensive and/or idiotic. There's not a lot of tv shows or commercials that'll set me off to that extreme, but they managed it.
Earthbound does look terrible graphics wise against the Square stuff, but all said and done, it was intentional trying to look like some cute modern-ish era cartoon. I still love the combat background random graphics though with all the patterns and color morphing. For years I wished I could find someone to make all those into a windows active desktop or screen saver and with all the fanboys out there I"m surprised it wasn't.