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They do last longer and you go faster also.
If you cut a tree with a stone axe it will take a certain amount of hit (i don't remember how many) But if you cut a tree with a iron one you'll see the difference ! For the Npc it's the same you won't have to run in all the buildings anymore because they will use it for a long time before the chest gets empty of tool !
Iron tools are marginally better than bronze from pure number perspective... but they require only iron, while bronze requires both copper and tin. Generally speaking better tools are better - at least you won't have to spend as much time (and resources!) making new batch of tools just because old batch is breaking already.
I only used tools I could craft myself so followed the progress in technology on what tools I was using. 300 more tech for smithy 3 and iron tools.
Or if you are really wealthy can just head for Hornica and buy the best tools.
You can make everything in smithy 1... you just can't unlock bronze tools before you reach smithy 2, or iron tools before smithy 3.
And yes, going to hornica/lesnica and buying ores/ingots is also a way to do it. Especially if you have a decent income source and can't be arsed to go to mines.
Im buying only ores/bars/metal tools when Im in a hurry for some reason.
Crafting the stuff or letting the NPC do it gives experience, which is a thing that shouldnt be neglected to unluck higher tiers of buildings and tech
But bronze does pay off. It may be a bit of a headache due to needing both tin and copper, but most bronze tools are 3x as good as copper ones.
And go for bronze as fast as I can. That extra durability is worth alot, with that little mining needed.
I witch to copper knives ASAP. I can't be arsed to constantly craft stone knives. Same with bronze knives - it is the first tool to switch to bronze.