For our situation I’ve never seen any value in status at all. And infact the only time I’ve ever held it was when a work trip to Asia on QF got me silver and when SQ was giving elite miles for transferring CC points to KF which got me Elite Gold.
For our long haul flights we almost always use points for J or F awards and for domestic the flights are short enough that lounge access isn’t a huge priority. We get enough lounge passes through points club and credit cards for our needs anyway.
If we were more frequent domestic fliers I could probably see the benefit.
Since this topic has popped up again thought I’d update this and say that we’ve decided Mrs NoName will get Star Gold through the HSBC Star Alliance card at some point this year. We have a couple of flights in Canada on AC in Y in January and have figured that lounge access might be handy.
So somewhat contradicts the above I guess but only status through a CC and not flying so will still stick to my general thoughts.