I use string formatting rarely, but it's a nice way to round floats to 2 decimal places (for example), or to pad strings with whitespace so multiple lines line up nicely. It's possible to do the same things with manual string manipulation, but it's more verbose, tricky, ugly.
It'd also be handy to have a Kotlin Common implementation because even though each platform has string formatting, the behaviour is slightly different. For example, in Kotlin/Native string formatting is very difficult because it's very difficult to write an external function that accepts varargs (due to C limitations).