TAB Fined $4 Million for Breaching Spam Laws in VIP Marketing

Over 5,700 Illegal Messages Sent

Between 1 February and 1 May 2024, TAB sent a total of 5,757 messages via SMS and WhatsApp without meeting legal requirements. According to the ACMA, 2,598 messages failed to offer a functional unsubscribe option. Another 3,148 lacked adequate sender identification. Additionally, 11 SMS messages were sent without customer consent between 15 February and 29 April 2024.

Authority Member Samantha Yorke described the breaches as “deeply concerning,” pointing to the scale of non-compliance and the focus on VIP customers. “This is the first time the ACMA has investigated and found spam breaches in a gambling VIP program,” she said.

She noted that such programs often involve personalised offers, including bonus bets, deposit matches, and event tickets. “The gambling industry needs to understand that spam laws apply to all direct marketing—whether it’s generic campaigns or personalised messages,” Yorke added.

Not Just High-Rollers at Risk

Ms Yorke stressed that VIPs are not always wealthy or high-stakes players. “These types of gambling VIP programs can involve customers who are not well off and are experiencing significant losses,” she said. “It is utterly unacceptable that TAB did not have adequate spam compliance systems in place.”

Australia’s Spam Act 2003 requires businesses to obtain consent before sending promotional content. Any such message must also include a way to opt out and identify the sender clearly. “When people make choices to unsubscribe from a service they must be able to do so easily and their decisions must be respected by companies,” Yorke said.

Enforceable Undertaking and Future Oversight

TAB has entered a court-enforceable undertaking lasting three years. It includes mandatory third-party reviews of its marketing practices, quarterly audits of VIP communications, staff training, and ongoing reporting to the ACMA. “The ACMA will be watching closely to ensure TAB meets its commitments and complies with the spam laws in future,” said Yorke.

The penalty against TAB is part of ACMA’s broader crackdown on spam and gambling-related harm. In the past 18 months, the regulator has issued over $16.9 million in penalties for spam law violations. It has also published updated guidelines to help companies understand consent requirements in electronic marketing.

Consumers can report spam or find advice on minimising unwanted messages via the ACMA website.