24 Hour Fitness Begins Review

Health-club chain 24 Hour Fitness has launched a review for the creative portion of its $25 million account, sources said.

Creative and media are currently handled by Grey, San Francisco. Sources said the shop plans to defend the business. Media duties are expected to remain there.

The timing suggests the client is eager to raise its profile as 2002 approaches. Health clubs typically see a spike in membership sales immediately after the first of the year.

The review also comes after an executive change at the shop. Grey this week named Casey Jones as president in San Francisco after Kieran Hannon left to take care of family matters (see page 4).

It was unclear which agencies the client has contacted or what the time table is for the review. The client did not return calls seeking comment.

Grey has handled the creative account for two years. It picked up media duties about a year ago in a review following the closure of incumbent Janik & Associates.

Grey’s work for 24 Hour Fitness has prominently featured celebrities Cindy Crawford and Magic Johnson. A recent series of print ads showed the two playing sports and riding stationary bikes.

One source said a number of staffing changes at Grey, including Hannon’s departure, may have prompted the review.

“Sales were up; they were ahead of projections this year,” the source said. “They were getting members in the door. But they may have been unhappy with some of the staffing moves.”

According to Hoover’s Online, the company sales were $911 million in 2000, up 24 percent from 1999.

The review also comes on the heels of client’s decision to hire Addis in Berkeley, Calif., for a project to help develop an overall brand strategy.

24 Hour Fitness is based in Pleasanton, Calif. It has approximately three million members in more than 430 clubs in 15 states and 11 countries.