"It puts your face on the screen without emptying your wallet."
‘HD 720p’ means it meets the minimum technical definition of High Definition from over a decade ago. The video feed is functional for a small thumbnail window, but looks dated and blurry at full screen.
This is for anyone who needs a camera simply to be present on a call, and nothing more. It's a disposable-cost tool for infrequent use or for situations where image quality is irrelevant, like monitoring a 3D printer.
Anyone who presents for work, streams, or wants to look sharp should spend the extra $20-30 on a 1080p model. The difference in perceived professionalism for a minimal cost increase is substantial.