Not only is it very common but it's frequently irrelevant.
Take Half Life 2 for example. That was a long time ago, right? It was so long ago I was still using a modem, because I lived in the back of bumfuck.
So you put in the disc and you find out the first thing you have to do is install Steam. So Steam installs, then it detects and update and downloads that update. The "update" is actually all of Steam again, and Steam includes a bunch of shit that I have on my system already since it includes a web browser, I want to say it was about 175MB at the time and now it's more like 250MB. And the steam update download DOES NOT RESUME so it takes me about ten tries to get it downloaded due to my shitty modem connection. Mind you, the download was failing sometimes even when I did not lose connection, so it was extra shitty.
OK, so eventually that's installed, and the game files have also been installed from the disc. Well, the game uses Steam DRM so it won't run until it's blessed. But there is also an update, and that has to be applied before that will happen. This is not a differential update either, so now I have to install all of HL2 over a ~40 kbps modem connection.
So even when there IS a disc in the box with the game on it, you may not actually be allowed to play it until you've downloaded the entire game, AND the time you spent installing it from the disc is just wasted. And if your use case specifically involves a poor connection or no connection, you don't get to play.