Looks fine to me. If your goal was to play the sound when the player approaches the NPC from any direction, then it’s ok.
You may want to refactor it later, when things get a bit complicated. The same could be achieved by casting OtherActor to the PlayerCharacter. Cast failing ignores non-player entities. A successful cast gives you access to the player character which you might need for additional interaction.
While tags may seem prone to mistyping (they are), if you use inheritance they help weed out the unwanted entities.
edit: I now see Steve’s informative answer. Using components + interface like this is a grown-up and modular way to approach things in BPs, agreed. Gives you scope for expanding this beyond simple interaction.