I was at an event recently, with a bunch of teenagers (one of which was mine) and I passed around a couple of those Fuji Instax cameras.
They loved them. They liked writing notes on the border. The photos aren't nearly as good as even the most basic smartphone camera, but there was something genuine about them.
For all the advances we've made in technology over the years, people are still thoroughly analog. And while digicams are not analog in any way, there is something about them that scratches that itch. Maybe it's as simple as hitting an actual button to make it go.
For all the amazing high-tech in today's smartphones, you still feel like a monkey at the monolith as you paw at it.