In my case, the motivation is replayability in a way that the same game produces extremely different story arcs. I'd also have some story arcs available to some backgrounds that wouldn't be available to others.
Basically: I want to tell the story of this particular party.
Vs: I want to tell this particular story with this party.
Both valid and fun options, neither superior. Just different.
I talked about it before when this discussion came up, but what Larian are doing is also a way to increase replay value. A shitty cheap and lame way to do it, but still a way.
Yeah, as I said, I don't see much value in it here. You're not changing the core story really... you're altering some minor side-line issues at best.
Like the concept I had was more based on locking out certain questlines based on choices and some companions appearing in the locked out questlines. Much bigger difference when your Act 1, 2, and 3 on replays deal with entirely different circumstances.