IMO, it's just a DNS black hole with a slick interface.And something, something some rsync and ftp and you've got Dropbox. Yes, Pi-Hole is just dnsmasq with a pretty face, which is precisely why I use it. $50 for a Pi starter kit, and as soon as it hits your mailbox, you are about 20 minutes away from living the #adfreelife (and most of that 20 minutes will be redirecting your network after install. Where the hell are the docs for this router?).
Sometimes I'm content to manually tweak JSON files all evening. And sometimes I just want to plug it in and pretty much works out of the box. Ad filtering on my network falls into the unsexy latter bucket of "just give me something that requires a minimum of yak shaving".
Are you using apps/services on these devices that don’t offer an ad-free option
Yes, the NYT as one example. The app still has ads. I continue to pay for the NYT to support good journalism. I don't get to pick both, so I choose to continue to pay.
A device in my house went nuts and decided it needed to ping an NTP server 1K a night. Not anymore.
In the end, I kind of get the impression you're spending more mental energy on arguments against, rather than ask yourself why someone might find it useful. I could come up with quite a list of reasons with just casual thought.