"And some bloated apps expect to see 720p and higher displays as that's the norm these days." When I last used my 1 core 3.0 inch Galaxy Pocket Neo with 240p screen in 2016-7, this was not a concern. But now, times have changed.
Resolution does matter when it's less than 316 ppi as you can see the pixels sometimes even when you're not focused to find them.
And some bloated apps expect to see 720p and higher displays as that's the norm these days.