I think it's normal as we become a more affluent society with more leisure time and disposable income that recreational vehicles become more and more specialized.
When I started getting into 4wds back in the 70's, the 4-wheeling "sport" was still relatively primitive. 32" tires were considered enormous and a 4" lift was about the most you ever saw (most people went un-lifted.) Specialized gear consisted of things like spare tire/gas can carriers that mounted to the back of a vehicle (the stout sheet metal of those days could support that weight - you couldn't get away with it now.) Even power steering was considered a "luxury" to say nothing of air conditioning and FM radio.
The 4 wheelers of that day were an alternative to the low-slung cars most people drove, so really it didn't take much to have more capability than an average 2wd vehicle.
What's interesting now is that as 4wd rigs have become more capable in low-traction situations, so have "cars." What I mean is that 40 years ago, if you just needed a car to get to work or to drive around town, you bought a RWD sedan or station wagon. Maybe 30 years ago you bought a "compact", often RWD (FWD was just getting started) but it still had little or no "off road" capability.
But nowadays, that "car" will often be a Crossover like the Honda CR-V or Toyota RAV-4, or even a true SUV like the Ford Explorer. It will often have AWD or 4wd of some type. And usually traction control, too.
The end result is that the "daily driver" of today often has characteristics similar to the 4wd adventure vehicle of 30 years ago.
The downside, of course, is that areas that were once practically speaking "off limits" to those without a built-up rig, are now accessible to just about anybody with 4 driven wheels, which has resulted in the despoiling of some pretty spectacular scenery, and also the inevitable ruling, regulating and gating that population brings.
I sometimes wonder what I'd be driving if I didn't need an off-road capable vehicle. I'm not a sports car guy (if I want to go fast and carve corners I'll ride my motorcycle) and I like "practical" vehicles so I'd probably end up in something like a Highlander or a RAV4.
I also wonder if there is a market out there for a "light" expedition vehicle. Something that is capable of moderate dirt roads or mild 4wd trails, but still gets decent MPG. Considering that for me at least, most of my "expeditioning" is done on paved or well graded dirt roads, I could probably drop the low-range requirement altogether and still be able to get to 95% of the places I want to see.
I've even thought it might be fun to put together a "daily driver" or "no-low" run. Get a bunch of vehicles together for a trip, with the following restrictions: Every vehicle has to be able to get more than 25mpg on the highway; and nothing with a low-range t-case would be allowed. It may sound funny but think about it: You could have a bunch of RAV4s, CR-Vs, Foresters, Santa Fe's, etc, and I think they could actually go a lot of places that people rarely take them.