Justin,
Artists "fan clubs" have never gone away. They are still here, just called something else. "FAN BASE." It is the people who support you, buy your CD's or downloads, go to shows, buy merchandise. They are FANS, which is short for FANATICS. You are a "FAN" of TEXAS MUSIC. You have t-shirts, support acts, follow the charts. You have certain artists you support when you can, shows you go to. That is a FAN BASE.
The benefit is to MAKE MONEY!!!! And keep your fans aprised of what you were doing, who you were, and shows, so they could come see you and SPEND MORE MONEY!!! Still happens today.
In the past, with people like FRANK SINATRA, they would buy BOBBY SOX, which were a brand of Socks with Frank's picture on it. Elvis fans wore sweaters and pants with Elvis's name and face on it. Guys all did their hair in the duck tails. Usually in each album (which were big plastic things that played music on boxes called RECORD PLAYERS, there would be a little ballot for you to join the "official fan club" where you mail in Five bucks and get back an autographed 8x10 picture, (which was signed by the printer, just a copy) a postcard" from the singer, special little things like buttons, or whatever and a certificate, (Suitable for framing) to hang on your wall proclaiming you were "An Official Member in Good Standing in that artist's fan club. The Beatles would have lunch boxes with their faces on them, all that kind of stuff.
There would be "fan magazines" that came out each month, with stories and pictures on what the stars were doing. You would pay an additional subscription fee for this as well as the wall poster that featured the Star.
There would be "Win a dream date with Frankie Avalon" giveaways, and always promotions. You might get $1.00 discount on new records coming out, or even better, "Giveaways on the other artists on the record label." you would get a few bucks off the Elvis record, and then a coupon to go to your local record store, (something else that no longer exists) and get 50 cents off on the latest 45' on some of their other singers trying be Elvis. Since Elvis had about a couple hundred imitators (not like the Elvis impersonators, these were singers like Frankie Avalon, Tab Hunter, Fabian, etc. who all looked and sounded sort of like him.) Pat Boone was actually considered a "lighter, less dangerous version of Elvis."
There would be "Win a dream date with Frankie Avalon" giveaways, and always promotions. You might get $1.00 discount on new records coming out, or even better, "Giveaways on the other artists on the record label." you would get a few bucks off the Elvis record, and then a coupon to go to your local record store, (something else that no longer exists) and get 50 cents off on the latest 45' on some of their other singers trying be Elvis. Since Elvis had about a couple hundred imitators (not like the Elvis impersonators, these were singers like Frankie Avalon, Tab Hunter, Fabian, etc. who all looked and sounded sort of like him.) Pat Boone was actually considered a "lighter, less dangerous version of Elvis."
Today is the same thing. We add Viral media. An artist will give out downloads to their private fans, have their own web channel, Facebook and Twitter feeds, they might have a private show here and there, little web casts that go on. A lot of these people are involved in GO FUND ME or CROWFUNDING, KICKSTARTER CAMPAIGNS. Every artist, band, etc are trying to do anything they can to get and keep fans. They giveaway so much stuff, because that is the norm now. We call it "SWAG" or "Stuff We All Get", they are now the things you get for free that the artist has to pay for. Another reason the cost of doing business is SO EXPENSIVE. Doing a tour now more times than not barely breaks even or loses money.
So "Fan Clubs" are still around and you probably participate in them, even if you don't "officially" join them. And that is really the biggest difference. In the old days you had to physically "Join" them. You had to mail in something, pay for something extra for the "Privlidge of being a member. Now you are automatically "Joined" if you "Like" them on Facebook, follow them on Twitter or put your name on a mailing list.
If you want to look at it a little more realistically, in the "old days", people paid to be IN the fan club. Today, the artists pay THE FANS to be IN the fan club.
Another fairly sobering account of what the music business "really is" is here:
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