It doesn't look so ugly just becouse you have small elevation deferences between nearby tiles. But if you make this height difference larger you will see what I mean.
So why not use similar approach as it is done in Settlers 2 where youe map is made from vector-based triangels. You do know that hex tile is made from 6 triangles?
So in the end you could still alow placing of various map times (structures, etc.) on what would be center of Hex tiles.
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