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This was a big middle-finger to film preservation.
This practice encouraged scalping.
While re-releasing films periodically is understandable for VHS due to tape degradation over time, there's no reason for it to apply to LaserDisc or DVD.
An excuse by Disney execs at the time of the Disney Vault's peak is that Disney wants to keep their films "fresh to new generations", which doesn't work in some aspects, like the occasional outdated pop cultural reference, or racist/sexist moment.
Good Qualities
The late Mark Elliott's narration on the trailers are memorable.
Some films, like Dumbo, Alice in Wonderland, and The Three Caballeros were unaffected by the practice, due to Walt Disney himself personally selecting them to be allowed to be released on an unlimited basis.