This is an important aspect of band performance.
Personally I dislike the gaps between songs, particularly during the second set when punters are on the dancefloor. They don't want the music to keep stopping every 3 minutes or so.
But effective banter between the front person and the audience/ rest of the band can make the difference between a half decent gig and a memorable one.
A live band is a 'show' first and foremost. A previous band I was a member of was mediocre but adequate technically, however the actual 'show' they put on was brilliant because of the p*ss taking between the guitarist and other members, and the laughs from the crowd.
My wife has not forgiven me for leaving that band for other more musically satisfying projects 😂