It was slower and harder to do than with digital editing, but it was absolutely common-place and normal.

As someone who grew up in that era, I can say all the family photos have not been edited, nor would the majority of people who owned a camera back then spend the time or money to do so. Yes, commercial photo editing services have always existed, and of course you'd expect things like magazine covers and other prominent, publicly published photography to be heavily edited, but they didn't automatically do it to everyone's photos for free; and that's the huge difference between then and now.