I think you are right. It took me a while to learn, you need four things to see blu-ray. Without any one of them, it ain’t.
1. An HD TV that is 1080p. 720p will not do it.
2. A blu-ray player, or in my case, a PS3 game player.
3. A blu-ray disc. By the way, standard dvd’s look better played on the blu-ray system.
4. An HDMI cable from player to TV.
Leave out any of the above, it might look okay, but it won’t be real blu-ray.
One of my best blu-ray discs is “Patton”. The opening speech in front of the American flag jumps off the screen.
Apart from the various "nature" discs I have (the BBC's "Life",National Geographic,etc) the most amazing blu ray I've seen is "The Devil Wears Prada".The PQ is,IMO,*beyond* breathtaking.
I have a Sony 1080P 40" XBR4 that I watch in the loft. HDMI connection is the only way you can get 1080P. I believe you can get 1080i with component cables, but I would not waste my time with those.