If I never have to have cloth/fabric seats in my car, I will be over the moon. Yes I prefer leather any day of the week to the point it is becoming one of criteria for any car I consider to buy - no leather, not an option.
Leather is easier to clean and maintain than any fabric seat (save it for some special wipe down material etc.) To me it looks a lot better, much more comfortable and when taken care of much more long lasting and durable than cloth. As far as getting too hot in the summer, this is true but the quality of the leather plays a big part in this. For instance the elephant skin grade leather I had in my W124 was painful to the point I didn't want to get in it if the car had sat for long in the sun. It was like sitting on a hot stove. However both my Audi S8 and E39 5-series had leather seats of very high quality and I never faced these issues once. Sure the seats are warmer than cloth but good quality leather makes all the difference in the world.
The quality also directly associates to the ease of maintenance. I always cleaned and conditioned the leather twice a year with good quality products and with my E39 having over 320.000km on the odometer (+200.000miles for the metric illiterate) you'd think the seats were torn to shreds. Nope. Not a crack, scratch, open seam or mark. The seats were as pristine as they are in a car with 1/10th of the mileage. Not only is leather easier to clean but high quality leather also responds to care much better than cheaper stuff.
Also with a couple of hours and some elbow grease, anyone can revive a set of worn, beaten up leather couches. Not possible with cloth - you will need special equipment which nobody has. Sure rental is always an option but as someone who used to work in the cleaning industry, these things are a pain in the ass to use compared to some leather wax and a cloth.
Think about that next time your kid throws up in the car or spills their ice cream all over the backseat...
For me leather is superior to cloth in every conceivable way.
As far as luxury goes, sure there are other materials out there such as silk or high quality alcantara for instance which can often be as or more expensive than leather but very few things (if any) have the feel, the look, the variety, versatility and the quality of what leather has to offer thus it is the benchmark material.
I can see why it is not to everyone's taste...for one thing you can't, or at least shouldn't, just leave and forget leather like you can do with cloth - it needs upkeep and maintenance. Also as mentioned the warmth can be an issue but quality of leather does play a part as do where you live, where and how you park your car etc. But there are very valid reasons to want leather over cloth outside "because rich people". I for one can only recommend leather seats for anyone with small kids or if you transport your dog in the cabin for instance. Makes life a whole lot easier in many ways.