Yeah, for audiophiles, they offered unparalleled sound quality at a time when the home theater market was just getting started. Besides the awesome sound most LaserDiscs had, you'd often get commentaries, chapter selection and other stupid special features that are fairly commonplace on DVDs now, but pretty much unheard of in the 80's and 90's.
Granted you had to flip the disc over halfway through the movie, and fuck all that noise. I don't want to have to get up 45 minutes through Land Before Time to switch to the other side. Especially if I just paid $700 for the player and $50 for the disc itself.