Strive for eternal rewards by doing good deeds.

This hadith is about the value of paradise and how it is greater than any material gifts we can receive here on earth. The Prophet (ﷺ) was given a gift of a silk garment and he reminded his companions that the handkerchiefs of Sa'd bin Mu'adh in Paradise are better than this. This hadith teaches us to be content with what we have here on earth and to strive for eternal rewards in paradise instead. We should not be too attached to worldly possessions as they will not last forever but rather focus our efforts on doing good deeds so that we can earn rewards from Allah SWT in the hereafter.