United Video South Dunedin in King Edward St will close for good in the next month.
Manager Kerron Nevard has worked at the store for seven years, two of them as manager, and said the store’s time had come.
"In this day and age you have to be very smart about it and we’ve done well for the past 15 years but its time has come."
Despite the easy accessibility of online video there were still people who preferred or could only afford rental DVDs, he said.
"We still had up to 18 sign-ups until a few weeks ago, so it was still climbing. There just isn’t enough money in the industry anymore."
All of the store’s DVDs, video games and Blue Ray disks would be sold after the school holidays finished and once they were all gone the store would close.
The store employed four staff.
Founded in 1984, at its height the United Video franchise had more than 100 stores nationwide, but competition from services such as internet streaming has reduced the number to fewer than 30.
An internet search for movie rental stores in Otago and Southland shows Kaikorai Valley’s Network Video to be the last remaining movie rental store in Dunedin, and that only two remain in Invercargill and one in Gore.
