I really like the look of the slat wall, but if you can get quality commercial grade pegboard hardware it is nothing like the cheap crud you find in most home improvement stores. I worked in a hardware store when I was in college and the pegboard hardware they used for display was at least twice the diameter of the home owner stuff. It had to be, you aren't going to hang a dozen hammers off of those flimsy wire hangers and 1/8" particle board.
My cheap DIY self wants to know what would be the price differential between finding some suitable pine boards and dado the top edge and screw it to the wall studs, and say the composite PVC slats?