Celestial Seasonings account loose

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Grey Advertising, New York, resigned the Celestial Seasonings account because "the company does not share our belief that it needs great consumer advertising to build it," according to an agency spokeswoman. The Boulder, Colo.-based herbal tea marketer had reduced ad spending from $6 million in 1993 to under $1 million this year, mostly on point-of-sale promotional material.

A review of five agencies will be conducted with re-assignment expected by September, said a spokeswoman with Celestial's PR agency; the company is closed this week for its annual "Summer Siesta." Grey picked up the assignment in 1993, weeks after Celestial Seasonings originally awarded the account to Tatham Euro RSCG, Chicago, which later settled out of court with the company after suing for breach of contract.

Copyright July 1995 Crain Communications Inc.

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