It is probably primarily a matter of taste and money. Personally, I find plastic windows to look cheap and cold. Wood looks much better. Today's wooden windows (e.g., Meranti) are very high-quality and generally not as maintenance-intensive as wooden windows from older generations. As a niche product, I would not describe it. I don't know any statistics, but I would say that in higher-quality houses, wood or aluminum is generally used, not plastic.