The small town of Kakanui lies on the coast of Otago, in New Zealand, fourteen kilometres to the south of Oamaru. The Kakanui River and its estuary divide the township in two. The part of the settlement south of the river, also known as Kakanui South, formerly "Campbells Bay", was developed as a collection of cribs (holiday homes). A recent increase in the development of subdivisions has increased the density of dwellings within South Kakanui. The population was 372 people in the 2013 New Zealand census, a decrease of 42 from 2006.