I think you mean 720p, and users can easily see the difference between 720 and 1080p on a 4.7" phone when looking up close, so there is still room for improvement. Now 1440p/4K I agree is not necessary like most Android phones.
If you are comparing specs like you seem to be in your car comparison, Android phones clearly are better in every single category compared to iPhones. However, we all know that isn't the truth in real world performance. Storage however isn't something that differs between OS's. 16GB is 16GB, and regardless of Android vs iOS you can still only fit a certain amount of 4k video of 12mp photos.
Apple is the king of marketing.
If you are looking closing. LOLOLOL. How many of the mainstream consumers care about 720 vs 1080 on a 4.7 inch screen? Hardly anyone. A 1080 screen will drain the battery more for almost zero benefit.
Samsung spent BILLIONS more in marketing than Apple the last 3 years. You can market all you want but if you sell a crap product the consumer will eventually find out the truth. Apple is the King because they sell the best phone. PERIOD.
And why are you bring up 16GB? If 16GB does not fit your lifestyle get the 64GB! Like I said this is like a man bitching that he can't fit the cheap Children's Jeans that cost $20 instead of the Men's jeans that cost $30. If it does not fit, stop bitching and get the larger size.