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Guide · Australian SMS law for trades

SMS compliance for tradies: what the Spam Act actually asks of you

Every text a trade business sends to win or repeat work is covered by the Spam Act 2003. Here is what that means on the tools: which texts count, the consent you need, what every message has to carry, how fast an unsubscribe must work, and what it costs to get wrong.

MTBy Muhammad Talha · Founder, Flat Out Automations Updated 10 min read 7 sources

A plumber sends 400 past customers a winter offer on hot water system checks. Some of the numbers came from the business's own jobs. The rest came from a list the previous owner left in a spreadsheet. Three people reply STOP, and one of them gets another offer the following month because the job-management system never heard about it.

None of that feels like spam to the plumber. It is a local business texting local people about a real service. But every part of it is covered by the Spam Act 2003, and two parts of it are breaches.

This guide is the practical version: what the law asks of a trade business that texts its customers, written for people who run vans, not compliance departments. It is general guidance, not legal advice. If you are unsure about a specific campaign, ask a lawyer before you send it.

The short version

  • The Spam Act covers commercial electronic messages: texts and emails that promote your business, even partly. Most promotional texts a trade business sends count.[1]
  • You need consent you can prove. Express consent is when they agreed. Inferred consent comes from an existing relationship that relates to what you are texting about.[1][2][3]
  • Every commercial text must identify your business, by legal name or name and ABN, and include a free, working way to unsubscribe.[1]
  • Unsubscribes must be actioned within five business days, across every tool that texts that person.[4]
  • The maximum penalty is A$3.64 million a day for a company at the $364 penalty unit value in force from 1 July 2026, and ACMA does enforce it.[5][6][7]

Which texts the Spam Act covers

The Act applies to commercial electronic messages: any text or email whose purpose includes offering, advertising or promoting goods or services.[1] For a trade business that is most of the texts that ask for work: seasonal offers, service reminders with a price attached, "we have a cancellation Thursday", review requests with a discount, and anything sent to people who have not booked anything yet.

Purely factual messages about a job that is already happening are a different thing. "Your technician is 20 minutes away" or "your quote is attached, as requested" do not promote anything on their own. The trap is adding a line. A booking reminder that ends with "ask us about 15% off a ducted service" is now promoting something, and the whole message is treated as commercial.

ACMA knows this trap well. Stopping commercial messages being sent as if they were service messages was named an ACMA compliance priority for 2024–25.[6]

What about missed-call text-back? A text that replies to a call the customer has just made, about the job they rang about, is a response to their own enquiry. Keep it that way. The moment it starts promoting other services or discounts, it starts to look like marketing, and consent, identification and an unsubscribe all apply. How we build text-back.

Consent: the part you have to be able to prove

You can send a commercial text with either of two kinds of consent.[1][2]

Express consent

The customer actively agreed to hear from you: they ticked "send me offers" on your booking form, opted in on your website, or said yes and you recorded when and how. It is the strongest kind, because it is on the record.

Inferred consent

Consent can also be inferred from an existing business relationship, but only where the message relates to that relationship.[2] A service reminder for the air conditioner you installed two years ago fits. A promotion for an unrelated service you have never done for that customer is much harder to justify. ACMA has publicly set out that it expects businesses not to stretch inferred consent past what the relationship supports.[2][3]

Common trade situations (general guidance, not legal advice)
Who you want to textConsentMarketing texts?
A customer who ticked "send me offers" on your booking formExpressYes, until they opt out
A customer you serviced last year, about servicing that same systemLikely inferredUsually, if it relates to the work you did
Someone who rang for a quote and never bookedUnclearFollow up the quote they asked for; hold the promotions
Numbers from a bought, scraped or inherited listNoneNo
Anyone who has replied STOPWithdrawnNo

The rule underneath all of it: it is up to you to prove consent, not up to the customer to prove they never gave it.[1] "They were a customer once" is a story. A record of when and how they agreed is evidence.

What every commercial text has to include

Who it is from

The message must identify the business that authorised it, using your correct legal name or your name and ABN, and that information has to stay accurate for at least 30 days after you send it.[1] If a platform or agency sends on your behalf, it is still your business that has to be identified.

A way out

Every commercial text needs a functional unsubscribe that is free and easy to use, such as "Reply STOP to opt out", and it has to keep working after the message is sent.[1][4]

Put together, a compliant promotional text from a trade business can be this short:

Smith Plumbing (ABN 12 345 678 901): Winter hot water system checks, $99 this month for past customers. Book on 08 9000 0000. Reply STOP to opt out.

The ABN and phone number above are placeholders. Use your own.

Unsubscribes: five business days, every tool

When someone opts out, you have five business days to stop sending them commercial messages.[4] In a trade business the difficult part is rarely the five days. It is that the customer's number lives in three places: your SMS platform, your job-management software and a marketing tool someone set up two years ago. An opt-out that only reaches one of them is not an opt-out.

This is exactly the failure that produced one of the largest penalties in the Act's history. The Commonwealth Bank paid A$7.5 million in October 2024 after sending more than 170 million marketing messages without a working way to unsubscribe, 34.8 million of them to people who had not consented or had withdrawn consent. It had already paid A$3.55 million in May 2023 for similar problems.[6]

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Record keeping: what to write down

Because the burden of proof sits with you, the records are the compliance. For each person you market to, keep:[1][2]

  1. Who consented: the name and number.
  2. When: the date, ideally the time.
  3. How: the form, the tick box, the call, and the wording they agreed to.
  4. What for: offers in general, or only reminders about one system.
  5. When they opted out, and when your systems stopped texting them.

A booking form that stores a timestamped "yes, send me offers" does most of this for you. A spreadsheet of numbers with no history does none of it.

The penalties at 2026 values

Spam Act penalties are written in Commonwealth penalty units rather than dollars.[7] The value of a unit rose from $330 to $364 on 1 July 2026,[5] so the dollar figures moved without the Act changing.

At the top of the scale, a company with a prior record faces up to 10,000 penalty units a day, which is A$3.64 million, and an individual up to 2,000 penalty units a day, which is A$728,000. Lower caps apply to a business without a prior record.[5][7]

Court penalties are not the only tool. ACMA also issues infringement notices and accepts enforceable undertakings, and businesses paid more than $20 million in spam penalties over the 18 months to October 2024.[6] Small businesses are not exempt. The rules are the same whether you send 40 texts or 40 million.

Where the Sender ID Register fits

Everything above is about whether you are allowed to send a message. A separate change from 1 July 2026 is about how it arrives: if your texts go out under your business name rather than a phone number, that name must be on ACMA's SMS Sender ID Register, or it is replaced with "Unverified" on the customer's phone.

The two do not cover for each other. We explain which of your texts that affects, and how to register, in why your business texts now say "Unverified".

A compliance checklist for trade businesses

  1. List every tool that texts customers: job management, bookings, marketing, reviews, missed-call text-back.
  2. Sort your texts into factual job messages and anything that promotes. Keep promotional lines out of the factual ones.
  3. Add a consent question to your booking form and quote process, and store the answer with a date.
  4. Delete or quarantine numbers you cannot show consent for, especially bought or inherited lists.
  5. Put your business name or ABN in every promotional text.
  6. Add "Reply STOP" to every promotional text, and test that it works.
  7. Connect opt-outs so one STOP reaches every tool within five business days.
  8. Check what sender name each tool shows, and register it if it is a name rather than a number.

Frequently asked questions

Do I need consent to text my customers in Australia?
For any text that promotes your business, yes. The Spam Act 2003 requires consent before you send a commercial electronic message, and that consent can be express, where the customer agreed, or inferred from an existing business relationship that relates to what you are texting about. You have to be able to prove it.[1][2] Purely factual messages about a job already booked, such as an arrival time, are generally not commercial messages on their own.
Is a missed-call text-back covered by the Spam Act?
A text-back that replies to a call the customer has just made, about the job they called about, is a response to their own enquiry rather than marketing. Keep it that way. If it starts promoting other services or discounts, it starts to look like a commercial message, and then consent, identification and an unsubscribe all apply. This is general guidance, not legal advice.
How long do I have to process an SMS unsubscribe?
Five business days.[4] Once someone opts out, you must stop sending them commercial messages within five business days, and that applies across every tool that texts them, not just the platform where they replied STOP.
What are the penalties for SMS spam in Australia in 2026?
Spam Act penalties are set in Commonwealth penalty units, and the unit rose from $330 to $364 on 1 July 2026. The maximum is 10,000 penalty units a day for a company with a prior record, which is A$3.64 million, and 2,000 penalty units a day for an individual, which is A$728,000.[5][7] ACMA also uses infringement notices and enforceable undertakings: the Commonwealth Bank paid A$7.5 million in October 2024.[6]
Can I text customers from a list I bought?
No. People on a bought, scraped or borrowed list have not consented to hear from you, and you cannot infer consent from a relationship you do not have. It is the riskiest thing a business can text.

Sources

Every claim above traces to one of these. Last verified 13 September 2026. This guide is general information, not legal advice.

  1. ACMA — Avoid sending spam. Commercial electronic messages, consent, identifying the sender, unsubscribe facilities, and keeping consent records.
  2. DLA Piper Privacy Matters — Australia's e-marketing expectations: when customers don't give a spam (August 2024). Express and inferred consent, and ACMA's expectations on relying on them.
  3. Addisons — The ACMA has issued a statement about its expectations for using consent. Limits on inferred consent.
  4. Prosper Law — Unsubscribe requests: meeting the 5-day rule under the Spam Act 2003. The five-business-day requirement.
  5. McAdam Siemon — Penalty units increase from 1 July 2026. Commonwealth penalty unit from $330 to $364.
  6. ACMA — Commonwealth Bank pays $7.5m for more spam breaches (October 2024). The CBA penalties, the service-message compliance priority, and total penalties paid.
  7. Spam Act 2003 (Cth) — section 25, maximum penalties. Penalty caps in penalty units per day.
Written by Muhammad Talha Muhammad founded Flat Out Automations and runs every build himself: the audits, the missed-call systems and the consent and opt-out handling behind them. The person who wrote this is the person who answers when you call.
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