You will get many opinions as to where to shop.
When I started I also did not understand 'the difference', but with years of 'feeling' and studying, yes, I have become a fabric 'snob'.
Here is a article about making fabrics, to help you understand (a little).
http://quiltbug.com/articles/choosing-fabric.htm
Now, I am not saying that everyone should shop 'only' at LQS. Funds play a big part in what one can afford, and even convenience/location play into that decision.
IMHO if you are thinking of doing hand applique, I would go with the batiks. They fray the least when doing applique (my avatar is batik and reversed appliqued).
good luck on your project(s)