It's been mentioned before, but that poll is of pretty shakey value. I didn't even respond to it because I couldn't find enough information on the different factions to offer an intelligent response. Dwarves are "merchants of iron and blood', whatever that means. Not much of a basis for chooseing a favorite team. So with that grounding in ignorance I move on...
As I understand it you've basically got "Team life" and "Team death" which are supposedly not the same as good and evil, but who are you trying to kid anyway? At any rate each side has 5 sub-factions which are cultural differences for the good guys but mostly different races for the bad guys. Pretty stock stuff.
We already have a fair amount of control over our Sovereign in the same way we could build our own Wizard in MoM. If I understand this post it's suggesting that we should also be able to not merely select a starting race as in MoM but to build our own race from a palette of racial (eats rock, breathes fire) and cultural (efficient miners, fast breeders) traits. Yes, that's a cool option and I like it.
So there are three levels of playstyle customization right off that bat. Team Evil or team Good. Wizard. Race. I like it.
One of the things we thought we would have to wait until a sequel would be to let players mix their races together when they build up their kingdom or empire. Right now, you capture a city, all the people simply become your faction (and its corresponding race).
This is a terrible idea. Every 4x game that has different races maintains racial identities after conquests. MoM did it, AoW did it. Heck Moo2 did it. For that matter the civ games do it even when the difference is only cultural and not racial.
So I think it would be a jarring lack of an expected feature if Elemental is missing such a long standing part of the genre. It would also be completely immersion breaking in the basic setting. This is supposed to be a ravaged and half-dead world, so if I take over a city of demons, even if butchering them all is SOP where do I suddenly get 200,000 humans to repopulate the city when my own kingdom only had 35,000 people in it? Cultural conflict between conquering troops and occupied cities is a long standing part of the genre complete with racial and faction modifiers based on cultural hatreds. Why would you throw out such a rich tool for weaving your worlds backstory right into the mechanics of the game? If you want then using something like AoW racial migration option where the conquereing army has to sit on a revolting populace for a few years while you slowly to do to New Mordor what China is doing to Tibet then that makes more sense. Having magical options to ease tensions or even mass convert all the occupants of a city to a new race would also be cool.
But to chuck out all those cool gameplay and world reinforcing options even though they have been a core part of the genre since the beginning and were a core part of the game that directly inspired this one? Terrible idea. 