I spend quite a bit of time on eBay - and have also watched at least three docs on VHS over the last several years - so I guess I'm as versed in this as most people. Certainly there are a lot of folks - and I am one of them - who love physical media and collecting, and that's a big part of the appeal. Stuff that has never made it to digital media is of course the primary focus for a lot of people - there was an infamous low budget horror film called
Tales of the Quadead Zone that at one point routinely went for over $500, though it has since been released on DVD (now also OP) and I don't think it goes for as much anymore. Not that people aren't going to keep trying:
https://www.ebay.com/itm/Tales-From-The ... Sw8KRgIXcr
There are also people who are into the history of the medium who like collecting the very early tapes from companies like Magnetic Video (remember them?), and I'm sure there are particular VHS that are collectible because of the box covers. I had a copy of that particular
Little Mermaid myself at one time - sold it for, if memory serves, about $50 in 2000 or 2001. Which was - and still is - the going rate in reality. Beware all the stories about the Disney "Black Diamond" tapes, the $45 k price listing referenced - it's a big ol' scam, and while you routinely see "sales" for thousands of dollars, it is apparently some kind of money-laundering scheme - the tapes are of course not even remotely rare and while they do sell legitimately to Disney collectors, the real prices they obtain are from what I've read typically in the $20-50 range with
Aladdin I think being slightly higher for some reason. Pretty sure snopes did something on this once.
But the main thing is nostalgia as it always is with recent-vintage collectibles, and that has especially been true over the past year with COVID keeping a lot of physical stores closed, and a certain percentage of people having more money to spend on this kind of stuff because they're not spending it on other luxuries like restaurants and vacations.
Star Wars, Ninja Turtles, G.I. Joe and
Transformers collectibles - comics, toys, video games - have been among the hottest things, because the manchildren of the 80s-90s in particular are now in their 40s and 50s and many of them have a lot of money and want to reclaim their childhoods. As someone sitting on a stack of TMNT comics I'm not unhappy to see this - one of the few positive impacts of COVID on my life.