So I bought a Squire Telecaster the other day , and while we were talking gear etc, he asked if I wanted one of these orange drop capacitors. So I thought owt for nowt, but I realised I haven't got a clue what they're used for! I imagine they're soldered onto the control pots but that's the limit of my understanding.

Sprague Orange Drops are a brand of polyester-based capacitor that's gained favour in guitar circles by people who like to use their tone controls.

Whatever brand of cap is better for tone is entirely subjective and the difference the brand makes is slim to none in most cases. The value that the cap has makes a much bigger difference and the tolerances that a lot of capacitors are made to mean that one cap is going to sound a tiny bit different from another anyway.
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