Dragon Tail + Crunch Gyarados deals a ton of damage to electric types. Yes, it dies fast but, none of Zapdos/Raikou/Jolteon can finish a 3000cp Gyarados within just one cycle. Therefore, Gyarados can launch some Crunch to its worst enemies. Also if you switch in an Electric Type before the battle, you are gonna take the first two Dragon Tail from Gyarados for sure.
Gyarados is a bad defender by itself - but it forces switch Machamp. Putting a Gyarados after the Blissey/Chansey/Snorlax trio and then a Rhydon/Donphan thereafter is a very good gym setup.
Edit: Grammar