Yup. It's funny, because the age-old adage is that a great player can sound great playing into any amp... but everyone forgets the inverse is also true. Shitty players make everything sound bad.
More often than not, the people who can't perceive the difference in sound are not particularly good or creative players, and don't see the 20% (or whatever percentage you want to put on it) difference as huge, whereas the people who can really play and write cool music are incredibly excited by the innumerable creative and performance possibilities that "small difference in tone" can garner them as a player.
That's not always the case, of course; there are certainly great players who played on shitty gear, by choice or by necessity, but every decent player i've ever known personally who went this route eventually caved in when they realized how much easier you can make it on yourself by finding gear that compliments you and inspires you.
I have a buddy who is a fantastic blues player, who played a godawful behringer full stack and a squier strat for years and was convinced the gear industry was a racket, and was all he could ever need. He ranted and raved about how expensive tube amps are, and how annoying they are to maintain, and how he would never become a "gear snob douche." We both started gigging in my local area in the early 00s, and grew up a block from eachother. His playing was fine, but his tone was so ear-grating it could clear 150 people out of a dive bar for a cigarette break in no time flat.
Flash forward, I just saw him for the first time in four years a couple months ago at a show. He now plays two top hat club royales in wet/dry with with a 2000$ pedalboard and one of the most beautiful vintage 335s I've ever seen. His sound is absolutely glorious.
If anyone is happy with what they have, I can relate - I absolutely love my main high gain amp - but finding the right gear for you can truly pay massive dividends.