Fans can help decide which six players enter the Hall of Fame by voting before 18:00 BST on Sunday 9 May, and Hoddle has encouraged supporters to choose Terry.
"You take John Terry out of Chelsea and I don't think they [would] win anywhere near the same trophies as they did," says former England manager Hoddle.
"He had that much of an influence."
Terry's ability to score goals as well as prevent them was another skill that impressed Hoddle, who was player-manager at Chelsea when the centre-back was coming through the youth ranks at Stamford Bridge.
"The ball comes in the box, it was always John Terry," adds Hoddle.
"He read the situation like strikers read it in the six-yard box to score. He's always there, smelling the danger.
"And he was a strong character, a leader."