You are also able to do some text manipulation inside the braces:
STRING="./folder/subfolder/file.txt"
echo ${STRING} ${STRING%/*/*}
Result:
./folder/subfolder/file.txt ./folder
or
STRING="This is a string"
echo ${STRING// /_}
Result:
This_is_a_string
You are right in "regular variables" are not needed... But it is more helpful for the debugging and to read a script.