The once-booming pachinko industry, grappling with a graying customer base and the threat of new competition from casinos, is adopting a softer touch and smoke-free zones to lure a new generation of players, particularly women.

Pachinko, a modified version of pinball, is a fading national obsession, with about 12,000 parlors nationwide and one in 13 people playing the game.

But that figure is declining as the population shrinks and younger people opt for games on their mobile phones.