I said "a lot of people", not "everybody" or "most". That has always been the case. The younger generations are less likely to collect stuff than the earlier generations anyway. That's why streaming is popular. Streaming is how Drake has more hits on the Hot 100 than anyone else and Taylor Swift can have the entire Top 10. It wasn't because people bought their 45 singles. Streaming allows every song on an album to chart at the same time. Now they even count a certain amount of streams as a sale of a physical album.
With home video, it didn't exist before the 1980s. Maybe the late 1970s for a small percentage of people. So they couldn't have bought movies to watch at home. Some really popular movies got re-released to theaters. That's how Gone With The Wind made a lot of its money, not from the original release. Disney did that too. When the VCR first came out, pre-recorded movies were expensive, like $100 for 1 tape. Which is how rental places like Blockbuster were popular. Or people bought blank tapes to record stuff from TV/cable.