i can only speak for myself, but being that the only use i would get from a decent camera is for fit pics, i cannot justify that purchase for myself to the tune of a couple hundred dollars.
and i do not blame my phone for quality issues with pics because i take them outdoors and i think it works great. its usually things like wind or the sun that makes my pics less than what i want from them.
When you take them outside like yourself they look great. I think many people are not comfortable with going outside an taking pictures of themselves though.