Iconics are a necessary inclusion in an aging game system that has vested so much power in the remaining player base.
You have to give newer players a chance to catch up to some extent and you have to give them reasons to buy mid and high level content as they do that.
I believe Iconics should go a step further and allow players to bypass certain past life packages. An Iconic caster with a racial tree that allows them to gain significant spell penetration and DC's in any of the classes as an example. An Iconic melee with a racial tree that allows for substantial PRR and heal amp is another thing that would be good.
Both of those would allow a veteran gamer to chance upon DDO when whatever they were playing had worn out for them and not immediately run screaming into the parking lot when they realized that all that DDO offered them was a years long grind towards a questionable endgame.