The communications watchdog fined the company over 148 emails and texts to people who hadn't opted in or who had but since withdrawn their consent as part of Betfair's VIP program between March and December 2024.
It also sent six text messages and emails that didn't contain an opt-out for the people who received them during the same timeframe, the Australian Communications and Media Authority found.
Messages offered inducements such as account deposits and free tickets to events.
"VIP programs are generally designed to attract and retain customers with high betting activity, however this doesn't mean VIP customers are well off or can afford losses," ACMA's Samantha Yorke said.
"Sending promotional gambling messages to these customers without consent or with no option to opt out is incredibly irresponsible in addition to being non-compliant."
Betfair has also entered into a legally enforceable, two-year pledge to independently review marketing processes, provide staff training, put in place quarterly internal audits and regularly report to ACMA.
Businesses have paid more than $16.6 million in fines for breaching spam laws during the past 18 months, the regulator said.
The laws had been in place for two decades and it was "simply unacceptable for businesses not to respect the rights of their customers", Ms York said.
"This is the second recent ACMA enforcement action concerning VIP customers in the gambling sector,'' she said.
"Providers are on notice that they need to have their compliance systems in order."
It followed ACMA fining PointsBet $500,000 for breaching spam and self-exclusion laws in May.
National Gambling Helpline 1800 858 858
9°C