I don't think it's always a good thing actually because when you always use a new address for any transaction, you can't manage easily your UTXOs. And when you need to spend one for paying something it can be joined with another one you didn't want to use for that transaction, if you don't pay attention. If you use an UTXO coming from a KYC platform it can be bad for your anonymity. If it comes from a darknet transaction, a mixer, a casino, a sex shop or something like that, it could hurt your privacy. While when you dedicate one address to one platform/use case and you label it rightly you are less likely to make this kind of mistake.
Sure you don't have to use new address each time when you are receiving $1 worth of bitcoin or some small amount, but I find very handy to have many addresses with $30, $50 or $100 worth of BTC, it's better to use coin control and spent them separately for any payments.
Good address management is needed for this and I suggest adding labels for addresses and transactions, but it's not hard to join them when needed, convert them to Lightning Network, or swap with other coins.
I didn't say anyone should generate new addresses for same platform multiple times, one is enough.