To be honest, I've never noticed a huge difference in Google Now with Location History turned off vs keeping it on, but it can be hard to tell. I still would get appropriate cards about what's nearby if it's off, but maybe Google Now would have more trouble figuring out my commute. But since my commute is not regular, since my schedule can be erratic, that may not be relevant anyway.
I now have it back on, since Google Fit likes to keep it on, and again, I haven't noticed a marked difference.
For other people reading this thread, it's worth pointing out for clarification that we're talking about Google Location History, and not the overall Location function (the latter being the ability for apps to use GPS/cell signal/wi-fi to determine where you are).