How much of it is vanity, and how much functionality?
It seems clear that if you are fly-fishing for big fish, you might need a decent drag, etc. I have a cheap Cabela's 4-weight reel for small trout on small streams, and for drag, if ever needed, I can just palm it. It's just a line-holder really.
Over time, I have turned against fancy, expensive sporting equipment. What makes a fly reel worth the money?
If you google the question, you get many opinions.
I have often fished for big fish, but never fly-fishing.