This is not a purely cosmetic improvement.
It would be easier to surround a large 3x3 unit with smaller 2x2 and 1x1 units. While a lone 1x1 unit like a Sovereign would be more difficult to surround with bigger units. It's only fitting that 8 squads of infantry can't all fight the same person simultaneously. With this suggestion, only 4 2x2 units could target the same 1x1 unit. This would give Sovereigns and Champions some survivability which I'm sure will be much needed at the later stages of the game.