Good looking doesn't have to be handsome or beautiful, but not having a beard and mustache will make it more intimidating and customers will be reluctant. and during recruitment it is necessary to select which one best suits the needs of the position.I
I totally agree with you..Even I would not be comfortable in such workplace personally.
Even people with not so good physical appearance can be very much presentable, neatly dressed and friendly. In fact everyone should be well dressed and friendly at work place. Many people despite their average and below average physical appearance carry themselves with confidence and look presentable. And they might be effective employees too.