The future of the beloved video store may be on borrowed time, as economists predict that the video rental industry will drop by $20 million this year, following similar drops in 2009, as consumers head online for their entertainment needs.
It has been reported that death is drawing ever so closer for the video store.
But the outlets are not alone on the endangered species list, along with photo processing businesses, wired telecommunications companies and travel agencies are expected to decline significantly in the coming year.
According to IBISWorld research analyst Ian MacGowan, the drop in each of these areas is being driven by technological changes, with video outlets being hammered on many fronts.
With faster broadband speeds leading to growth in both legal and illegal downloading, there is also the growth of pay tv with Foxtel IQ providing extra flexibility of recording and playing back movies.
Manager of three Video Ezy stores in the city, Rayhan Fajib, said that he held grave fears for the future of those video outlets that have failed to diversify their offerings.
He pointed out that last year was rather difficult, aggravated by a widespread drop in consumer spending and economic uncertainty.
He went on to say that if there was a way to stop people downloading off the internet, then they would. He said it would be a lot harder, but they will survive because at the end of the day, people love movies.