The owners of the store announced the closure on an online buy, sell or exchange page over the long weekend.
The store was bustling yesterday with customers looking for last-minute bargains.
Both store owners declined to comment on the reasons for the closure when approached by the Otago Daily Times.
As recently as the the turn of the century, Oamaru had three video stores.
That number dropped to two when Civic Video shut in 2013.
Internet New Zealand chief executive Jordan Carter said earlier this year the demise of rural video stores was not because of of the internet, but because the public's viewing habits had changed as a result of the sorts of technology available.
"Now they can rent without having to go to the intermediary of a shop.''
If video stores were still relying on people coming through their doors and paying more for material than they would online, they would struggle to compete with an online service.
"People have a big choice online and it's competitive,'' he said.
Mr Carter did point out that a well-known video store in Wellington City, AroVideo, was able to pull itself back from the brink of closure after an influx of community support, but said that was down to how the owners branded themselves.
That generated a cash flow and the store was able to keep its doors open, he said.
The demise of video stores in rural communities was sad for their owners and a hassle for people who did not have online services, but it was just the market responding to people's preferences.
