You can do more with dictation than just typing. You can also indicate when you want text to be bold, italics, or underlined. Some people have trouble because they try to include the command with the text they are typing, but it is important to wait between typing and issuing commands. In Pages you can even access everything in the Format sidebar using dictation commands.
You can do more with Mac dictation than just typing text. You can use commands to control your Mac. You can select menu items, interface buttons and move between fields in the interface. In this example, I'll start, address, compose and send an email message without even touching the keyboard or mouse.
The ability to dictate text instead of typing is built in to macOS. But in order to use dictation effectively, you should know how to use some basic commands for moving the cursor, selecting text, replacing text, and correcting mistakes. You can also use dictation commands to access toolbar and menu bar commands for more advanced changes.