Sure you are right in that case.
I mentioned it can be used for Debris or such assets these include flags and other similar one time or loopable FX, but I mentioned Alembic or point cache in general is pretty much impractical for game characters, which is why we still use bones and skin + Morph :). Progressive was never meant to be vertex animation simply to have better control over morphs on a skinned character in UE4.
For vertex I would even try to avoid alembic and try to use material vertex bake when i can (granted its got limitations with polycount) but Alembic has been so buggy and slow in UE I am scared of using it in production unless I must.
I think Epic is dropping FBX in the future and going all out USD for everything. That would be a great choice once all programs start supporting it and unifiying their formats like this.