Hi,
Mostly for show indeed, but in non US stations (or maybe too in the US) i've had the occasional luck of having my bag relatively fast, i have no idea if this is because of the tags or just plain luck, but some ground handlers may consider this some elite tag and sort them better?
It has your skymiles number, so a DL rep could access some useful info if your bag gets lost i suppose... so i'd put it on the checked luggage rather than the caryy on...