Video expert says there's still a place for DVD rentals in NZ

The Australian-owned DVD company has decided to leave the New Zealand market, with just six stores remaining around the country, down from 135 more than a decade ago.

Motion Picture Distributors Association Matthew Cheetham says while movie rentals are on the decline there's still a place for them in the market.

He says everyone thought long-playing records would die out - but now they're making a comeback.

Matthew Cheetham says the movie rental market is still important in rural areas where broadband isn't quite up to speed for services like Netflix.