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Although you will unlock the PVP arena before you have filled up all your party slots there is no point accessing it and getting easily beaten until you have recruited your fourth party member and each of your characters have decent stats.
Keep an eye on the Achievements to see which ones are within your grasp as they are worth spending time going after as they will reward you with plenty of gold when completed.
Whenever you encounter fire-based enemies use water-based attacks to combat them.
Spend gold on upgrades whenever possible to improve their abilities, there is a limit to how many cards you can have in your inventory at any one time so there is no point in letting them accumulate.
During the game you will pick up cards for your inventory when you complete a level. Make sure you equip your characters with the highest star-quality cards you get and use the lower-tier cards as upgrade juice. Upgrading your characters will increase their stats and also make room in your inventory for more cards.