Even when ethereum is still facing a big problem with the scalability and ethereum has more usecase compare with litecoin. If litecoin mostly used to be a payment system and ethereum can do that too but litecoin can't be used to issue the tokenization or build the defi project. people are seeing it from the use case.
The primary usage for both Ethereum and Litecoin is for making payments. ETH is a smart contract platform, and therefore it can be used for purposes such as DeFi. But DeFi is struggling now, despite the initial hype. So for the vast majority of the users, it comes to the ease of making payments. And right now the ETH transaction fee is around 100x that of LTC.