They're easier to clean. They look better. They're possibly cheaper.
You add supposedly safer as well. Since no heat is generated unless the pan is on the stove, it's safer for kids. Apparently the jury is still out on the technology since it uses electromagnetic currents:
Another Dangerous Cooking Appliance – Induction Stovetops - http://breastcancerconqueror.com/another-dangerous-cooking-a...
Health Issues with Induction Cooktops - http://www.livestrong.com/article/312052-health-issues-with-...
Is Induction Cooking Safe? - http://www.magdahavas.com/is-induction-cooking-safe/
If you want to cook, you'll have to take portable appliances onto the deck or into the basement because kitchens are solely about looking good now.
There are snarky analogies to web design in the above, BTW.
It's not just about markets being small. Many times it's about designers pushing form over function, and people not realising what they're losing.
Take induction hobs, for instance. I had to go out of my way to get one with mechanical knobs, as opposed to touch controls, and it's such a huge UX improvement that I now feel handicapped in other people's kitchens. Yet I've had several friends and colleagues express genuine surprise that this is even possible; they've only ever seen induction hobs with touch, and thus assumed it's necessary to have touch on induction.