Is there a difference between 720p and 1080 on a lcd screen as small as 16 inches

Is there a difference between 720p and 1080p on a lcd screen as small as 16 inches. Im getting a new sony vaio and will be watching alot of blu-ray movies on it. It has a LCD screen, hence the reason I'm posting in this section. I could go a step up and get the 18 inch which is 1080p and has led backlit but for a screen that size is it that big of a difference. 18" laptop to me is too big but I hate how the screen on the 16 inch is only 720p. I mean is it a huge difference because this will be the deciding factor in my purchase.Thx in advance.