Those dealer add-ons you described are still common at a lot of dealerships. The target is the buyer who walks in off the street without doing much research. Occasionally they'll actually get someone to pay them, but most commonly they use those as negotiating chips to make the buyer feel like he/she got a great deal even if paying MSRP.
There is a quote about "sucker born every minute" that applies here.
As I've posted here previously, the best buying strategy is to bypass all of that and solicit bids via email to the internet departments of all local dealers. Dealers know the car selling business extremely well - it's their profession, after all - and so they know that some buyers will pay way too much, others have done some research and will fight for decent but not great discounts, and still others will compare prices and go with the lower bidder. Depending on market conditions the dealer will determine how many cars they can sell to the overpayers and how many they need to sell to the lowest-bid buyers to meet quotas and adjust accordingly. You want the dealers to know you are in the lowest-bid buyer group so you can get the best price and avoid wasting time negotiating on the showroom floor.
