The Australian Video Rental Retailers Association (AVRRA) has folded, reflecting the changing way people are engaging with technology — and the internet is the clear winner over the local video shop.

Last week, the board members of the AVRRA voted unanimously to wind up the association on October 31.

The not-for profit membership body represents video stores across the country and aims to develop, promote and represent the video industry.

Board director and local Castlemaine video shop owner in central Victoria, Scott Dew, said even though he was not surprised by the decision, he described it as a "sad" day for the industry.

"I think the writing's possibly been on the wall for a little while for us and numbers have been dropping steadily," he said.

For many of the members it signalled an end to their careers, with some board members serving for over 13 years and some store owners working in the industry for more than 30 years.

"It's quite an emotional time that you get to at the end of that journey," Mr Dew said.

Even through the association has folded, he said it would come back if needed.

"Like vinyl became retro again and sort of bounced back," he said.

"But look, at the moment I don't think so, but you know anything is possible I guess."

Internet killed the video shop

Reece Newling said a warm smile and patience were needed and he will miss his customers when the video shop closes. ( ABC Central Victoria: Larissa Romensky )

In 2001 there were about 2,600 video stores nationally; today there are about 750 according to AVRRA's executive director Ross Walden.

He blames the internet and piracy as the "worst enemy" of video stores, compounded by the lack of government assistance.

Despite the arrival of the US-based entertainment streaming service Netflix in Australia in March 2015,with an estimated take-up of 1.4 million in about 3 months and about 5 million users currently, Mr Walden does not think Netflix is entirely to blame.

"We've been able to battle Foxtel [and] yes, Netflix came on with a big take up and yes, there are the younger generation turning to these different formats, but piracy has been the longest enemy of the industry," he said.

Mr Walden is frustrated at the government's lack of interest.

"Every government approach we've made to get this fixed ... it's just fallen on deaf ears," he said.

But according to Mr Dew, who will close his video shop at the end of November after 11 years, Netflix has had the biggest impact on his business.

He said the initial extended free trials for three to four months enticed many people, especially with low pricing options of $10 per month.

"I suppose it only takes a certain period to create a habit and once people sort of get into those things, it's hard to break them out to get them back to the video store," Mr Dew said.

He said at the peak of his business, back in 2008, on a Friday or Saturday night 600 to 700 DVDs would be rented out.

"It's less than half now, so maybe 280 to 300 [and] that's a combination of weekly, three-day hire, TV series and new releases," Mr Dew said.

Movement away from social interaction

Lloyd Dodsworth said customer service and discussing films was an important element missing in the online world. ( ABC Central Victoria: Larissa Romensky )

With the closure of many video stores around the country including his own, Mr Dew said one of the "saddest things" was the "movement away from social interaction" in the shop.

"That's a big loss because [for] a lot of people, it was a very social thing, coming out on a Friday night to get your take-away food, catch up with friends and get a movie," he said.

It also signals the end of the video clerk role made famous in many films including the 90s Clerks, which tells the story of two video store employees and their acquaintances.

Video store clerk Reece Newling said he had met many people though his job and would miss his customers but said it was hard to compete with the internet, especially for the more net-savvy younger generation.

"It's not too hard to get what you want with a click of a button," Mr Newling said.

"Things are either cheaper, faster or more convenient to get at home than at a video store."

Fellow video store clerk Lloyd Dodsworth laments the loss of customer service that comes with the role.

"It's a lot colder online and you can't have a discussion with someone about a film when you just get a star rating," he said.

He describes his relationship with customers over the last four years as "interesting", encompassing recommendations to "grand philosophical debates" about film and even heated discussions, usually involving late fees.

But he is also concerned that many smaller independent films will not get the audience from many online services.

"There's a huge range of movies here — we have multiple distributors so we get the big budget films and we have some guys that run indie films," Mr Dodsworth said.

"We have a couple of independent distributors that will be putting out the kind of movies with actors that people haven't seen yet."

Having grown up in the area he will be heading to Melbourne to look for work.