As it becomes evident from the video, the effects are quite different than they were in previous versions. The axis (Z) zooming that have been cherished on the iOS 7 are being reduced and translate into fade out and in when the reduce motion setting is used.
The previous setting was mostly focused on making the parallax effect les evident on the background of the Home Screen, but didn’t do anything for general animations like the latest one does.
We only suggest that you take advantage of this enhanced reduced motion setting option only if you suffer from motion sickness. If you don’t, there’s no need to do anything.