KISS was one of the top hard-rock groups in the 70s.
References in the show
A poster of them can be seen in Eric's room and the Destroyer album cover in the episode Drive-In with Fez's host parents. A KISS alarm clock is seen in the season 4 episode Red and Stacy; that sings:
Wanna rock and roll
And (talking) WAKE UP (singing) every day!"
Lastly, in Season 7, Hyde mentioned that his sister slapped a man who tried to buy a KISS album from her at the record store because she thought the man wanted a kiss from her.