A lot of people still rent DVDs from stores or vending machines across Australia, Blockbuster director Paul Uniacke said.

"Consumer attitudes are changing but there are still a lot of people buying and renting disks," he said.

The industry had made a few mistakes in recent years, including a failure to react to a changing market, he said.

"When the GST kicked in there was a huge debate about whether we should adjust our prices but the cost of renting a movie has never really changed since, despite cinema tickets going up by about $10," he said.

"As an industry we have done that poorly and that has been reflected in our margins as wages and rents have gone up every year."

Mr Uniacke said he was confident an ability to provide new releases would keep Blockbuster competitive with services such as Netflix or Stan in coming years.

"You cannot get new releases with those streaming services or pay-per-view, so we see our business as being distinct," he said.

Blockbuster was focusing on DVD vending machines across Australia, with the closure of the Kingston likely to add to demand.

"The franchisee in Kingston had that store for nearly 10 years and his agreement lined up with the end of his lease.

"We had 800,000 registered members across Australia during the last three years and while we still support our stores, our vending machines and kiosks continue to grow and expand."