Compression really is a game changer when you're over a certain amount of data you need to protect, and backup technology does some really clever space savings at basically all stages, making it hard to find a good and easy metric to help sell to management. It's a lot easier to tell management:
"These tapes hold 50 TB of production data, and we have about 45 TB in production. Backups and restores will be faster, we'll have fewer tapes to manage for backups"
than it is to explain the different types of data you need to move to tape, the expected compression ratio, etc.
That being said, I do agree they market it too much and it gets confusing, as it should only be a reference for implementation and quick calculations.