Can only speak from the experience of my own country, but in Ireland This is the inside of a bus: http://www.cityswifty.com/SC241interior1.JPG This is the inside of a train: https://c3.staticflickr.com/3/2831/9337782850_41264e4fd4_b.j... That should say it all as to why people like trains more.
Are those both public transit? Both of those, but particularly the bus, put anything I've seen here in America to shame. (Even private bus transit doesn't look that nice…)
For routes that are confined to much smaller areas, we also have these buses: [1] (most of the country) and these ones: [2][3] (Dublin). The Dublin Bus ones in particular might be closer to what you'd expect from public transit.
[1]: http://www.cityswifty.com/MC20interior.JPG
[2]: http://www.dublinbusstuff.com/PhotoWeek/AV170%20-%20Interior...