Seems that the original poster encountered ignorant gate agents
People dress all sorts of ways to fly, and I can't imagine being able to pick elite pax by dress! It's common for me to change into sweats, for example, for a SFO-NRT->PEK flight, knowing I can shower and freshen up at NRT airport and change into business clothes.
And I don't care at all what other passengers think of me.
However, if I get questioned by the gate agent, when I have the proper ticket, that's another thing. That p*sses me off. I've had gate agents say "THIS LINE IS FOR FIRST CLASS" when she had just called First/1K/GS and I had a 1K ticket. I told her to take another look at the ticket, and she let me in, but the humiliation I suffered, not to mention the slanderous accusation in front of a group of influential businessmen no doubt caused irreparable damage. (However, I wasn't upset enough to have my lawyer peruse it. He's already busy suing hotels on my behalf. )