I have an app which has been deployed to Play and is compatible with any device running 2.1 or later; no special restrictions or requirements defined in AndroidManifest.xml.
I found the culprit - Copy Protection was enabled. From Google's notes on the setting: http://developer.android.com/guide/google/play/filters.html
To copy protect an application, set copy protection to "On" when you configure publishing options for your application. Google Play will not show copy-protected applications on developer devices or unreleased devices.
In other words, having to side-load Google Play is just a side effect of being an "unreleased device" / device that fails the Google CTS. In any case, disabling copy protection resolved the issue.