Personally, no.
For example....Anybody out there could pick up a $39 Cabelas Three Forks 8' 4wt 4pc rod and fish their way across the country. Any cast they were not able to make or fish they were not able to land along the way, that was within the realm of a 4wt rod, would not be the fault of the fly rod.
Could you get a little faster with some high-end graphite, or slower with some custom glass, or prettier with some higher end accouterments? Sure. But is that "needed"?
In reality, anything over $50 when it comes to a fly rod, is vanity or pure personal desire. Myself included.
But that's OK too.