I find different colored flags to be fine. Typically they are targeting the non-tech casual player. I understand the aesthetics, but once the tech was allowed in the door, it's basically a waste of everyone's time to not just signal immediately where something is. If I've got my gps and see a blue flag, I immediately no the casual number without needing to laser.
That said, if I were creating my own club. I think I would stick to white-out, red-in flags, with no signal to the players. This would allow low-tech play if players chose, but my club would be a match play club, and probably wouldn't even have a course rating from the match tees, so people could just relax and play.