The narrator defines this statement in the context of his Grandmother. His Grandmother does not look pretty but she was beautiful by heart, She was so pure and Kind-hearted. Grandmother was not pretty but she is so soft and polite. so, she started to share her friendship with her grandson in the story. The significance of this statement is to show love and respect to his grandmother. It is one of the stories that is based upon looks. Her loving and caring nature puts the narrator to speak about this.