How to trade for an extra hour online, online and on the phone with Duluth Trading Company
— It was one of the busiest weeks of DulUTH Trading Company’s history.
But the hours trading company has seen over the last month are getting less and less.
“It’s been more stressful than I’d expected,” said executive director Kristine Ritt.
“We’ve had some clients cancel our trades.
We’ve had a few that just haven’t made it.”
The company is facing a crisis of supply.
“Our stock is not getting any better, we’ve lost some of our best customers,” Ritt said.
“That has been frustrating.”
Trading company’s stock plunges by 20% in early afternoon Thursday.
In the early morning hours Thursday, the stock fell to $1.99.
At the time of writing, it is down 20% to $2.80.
The company’s losses have been coming as it tries to meet the demand for its online trading products.
In an effort to provide its customers with more time to make their trades, Duluthority Trading Company has been using its online platform to offer clients an extra 30-minute window to make trades.
But it’s not working out that way.
It’s getting more stressful and harder to do it.
“I’ve had people cancel trades,” said Ritt, whose company has lost about $100,000 in the last three months.
“If you go to the site, it’s going to be a very short window, and I don’t know how you’re going to get your trades done.”
The situation has become a problem for the company.
“At this point, we’re in the worst shape of our trading business,” Ritz said.
She said the company has a few more weeks of stock to sell before it has to close.
“When we’re close to our first month of trading, it would be like we were out of business,” she said.
The online trading company is now looking to the internet for a new way to keep its customers engaged.
“With more and more online trading, we have a problem of supply, and that’s putting our stock down,” Rittsaid.
Ritt has been looking into options for her company, which she said is trying to make trading more convenient for its customers.
The next step is to look for an online trading partner.
It may be hard to find one that will meet the needs of the business.
“There are other online trading companies out there,” RITTSaid.
“One of them has a business model where you have a company and they trade for you, and you trade for them.”
The online company is also looking to increase its stock holdings to provide it with more trading time.
“The stock is down a little bit,” RITT said.
RITITTSays the company’s management team has been talking with its insurance company about the risk of the company closing.
“Right now, we are the most profitable trading company in the Duluth area, and we have to do something to stay there,” she added.
DULUTARY TRADING COMPANY SAYS It has been hard to make ends meet.
But RITITT said she and the company are still working to improve the situation.
“These guys are trying to help us.
They’re working on ways to make sure we’re still in business,” said Jody Jolliffe, executive vice president of the Duluther Trading Company.
“But it’s definitely going to take time.
We have to figure out how we’re going do it in a way that doesn’t cost us money, but at the same time, makes sure that we’re doing it in the best interest of our clients.”
DULVERITY TURNING POINT: The stock is currently trading at $2 in Duluth.