Coinbase isn’t a wallet though it’s a custodial account and I can see why people use it but it’s better to have a wallet! You can use hot wallet apps like Jaxx or exodus that allow you to set up wallets and own your own keys

Paper wallets are just another option for those who want cold storage but don’t want to buy a trezor or any of the thumb drives

The reason I like the idea of a paper wallet is because it’s something physical you hand over! People can understand it even if it’s a bit weird saying this piece of paper I’m giving you is worth say $8000 or however much BTC is at the time lol