There'll be various reasons why a large family can't take a train, but drastically fewer reasons why a person or a commuter travelling alone cannot (or, a group of friends, or a couple, etc.)
Maybe one day that'll change again, but at least now it helps reduce the amount of pointless traffic on the road.
For older kids there are a lot of discounts, but many of them are only cheap if you use public transport regularly. (eg. rail card family from the ÖBB for 19€ a year, or upper austria regional tickets for school children for 77€ a year, etc.)
One problem is that it's not just train tickets, but you also need tickets for bus/tram/subway, and every city/region has different systems, so for every trip I spend about 15min trying to figure out which tickets to buy.