That’s pretty cheap, a new release blockbuster movie cost $3.79 - in 1999! And you had to drive there, and drive back to return it, and could only borrow what they had in stock, and they charged you fees if you forgot.
Basic cable (with 3 minutes of commercials every 10 minutes) plus HBO was like $80-100 adjusted for inflation. Now you can get a HBO/Disney/Hulu bundle, with no ads, for $35/month and watch anything in their entire catalogue instantly.
Truly amazing times