my own guess is that before replicators, such devices would have been complex to operate, and would have kept a stockpile of 'stuff' to beam in for the different environments. so ship board ones might have been rare for most groups in the federation, but you might find them on space stations and in cities. once replicator tech became a thing, it got mixed in and made it easier to operate them, and expanded their options for programs.
i also assume that holoprograms like Flotter & Trevis, prior to TNG, would be closer to an interactive video. the characters can move and do things, but actual interaction with the 'player' would be restricted to non-physical stuff. so you could walk through the Woods with Flotter, but he'd always be out of arms reach. and until the mid TNG upgrades, his dialog would be more limited. this limitation with characters would be part of why in early TNG it was mostly used for recreating environments and replaying non-interactive events. it could do characters at the time, but they weren't all that useful.