Children diagnosed with autism spectrum disorder (ASD) commonly exhibit impaired responses to tactile stimuli, often presenting either higher sensitivity or lower responsiveness to touch. Tactile therapy (TT) using various textures is an intervention aiming to modulate and enhance the child’s tactile experiences. The conventional textured tactile panels used in sensory rooms for TT often pose constraints in captivating the children’s attention effectively due to the passive nature of elements used in it. Hence these panels limit their effectiveness in stimulating active engagement and sustained interest of children during therapy sessions. This paper introduces a new approach, i.e. Adaptive Tactile Therapy System (ATTS) configured with Internet of Things (IoT) technology targeting the reinforced engagement effectively. The system comprises two interconnected components described as (a) a unique tactile panel and (b) an illuminating wall panel serving as a haptic input device and an audio-visual stimulating device respectively. The tactile panel consists of eight distinct textures (commonly used as dress materials) embossed on responsive push buttons to detect child engagement, which is then processed by a microcontroller and transmitted wirelessly via RF communication. In response to the selective pushbutton, the illuminating wall panel with integrated RF and IoT capabilities, provides adaptive visual patterns and auditory cues, creating a reinforced therapeutic environment. Furthermore, an RFID reader identifies the specific child, who is engaging with the system, while a Raspberry Pi module fetches child-specific stimulating visual and audio prompts. Simultaneously, ATTS transmits tactile exploration data to a central server for analysis. By combining tactile feedback with IoT technology and interactive displays, this system offers a comprehensive approach to sensory integration therapy providing enhanced engagement and developmental outcomes for children with ASD.