Japan’s pachinko industry, a bulwark of the country’s entertainment industry, has been hit hard during the pandemic.
According to Pachinko news site Green Belt, Almost 640 pachinko parlors were closed in 2021. As of December 2021, 7,637 pachinko parlors were affiliated with the Japan Amusement Business Cooperation.
This has also resulted in fewer machines in operation. Inside Asian Gaming reported in April 2021 that the number of installed pachinko machines was 3,608,838, down 226,145 machines from the previous year.
Pachinko was first developed in the years leading up to World War II. In the post-war period, popularity exploded. Video game companies like Konami produced non-stop pachisuro (“Pachinko Slot Machines”) featuring characters from their iconic games such as Solid metal gear. In Pachinko, players try to win metal balls, which they can then exchange for prizes, which can then be resold at another shop just outside the saloon.
Apparently, Covid-19 has affected the Japanese entertainment industry. Lockdowns resulted in salons being temporarily closed. New variants undoubtedly drove customers away. According to Shintaro Kamimura of Inside Asian Gaming, “The Covid-19 pandemic has exacerbated this trend, as not only small to medium-sized halls have been closed, but also large industry players.”
Sega Sammy Holdings, formed after Sega merged with pachinko company Sammy, has seen “extraordinary” financial losses during the pandemic and asked 650 of its employees to retire voluntarily. The effects can also be felt outside the salons. Late last week, Sega sold out the remaining shares of his non-pachinko arcade shop.
But it’s not just the pandemic that has hurt pachinko. As Nico Nico News points out that smoking bans in pachinko parlors and the creation of small smoking rooms may also have discouraged customers who smoke.
There are some bright spots Nico Nico News Remarks. Ten new pachinko parlors opened in December, so perhaps the Japanese entertainment industry is on the up. But is that enough to offset the losses?
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