Yes, but some of that is the mass distribution of those films (especially The Liion King) in 3-D, with very few cinemas offering the 2-D in as many showtimes. And now 3-D is overkill. There are diminishing returns.
I do not have a problem with a 3-D release of the classics, but I do not think it is necessary. I also do not have a problem with following the theatrical release with video later. But I do think that the big ones need to be reissued on the big screen periodically. It can be very profitable, even with less than blockbuster box office. They do not need blockbuster box office, just good box office, with a national release with national advertising. They will do well, especially around school holidays (such as Easter week).
The advertising and exposure will have residual benefit in character recognition and endearment over time, including with video. But the theatrical release and national advertising helps to let new generations set it out as important and worth special treatment.