Means spelling a word like it sounds, in this context. That's where the whole "Hooked on Phonics" thing came from. It was aiming to teach kids to spell phonetically, which is a terrible idea as English has far too many words that are not spelled phonetically. Actually, "phonetically" isn't even really spelled phonetically.
Nailed it
Um, who nailed what

is there a pigeon involved

You guys went all serious on me

I was referring to the 'nailing', not the phonetic spelling

My mind was in the gutter

I just didn't want to confirm my bird fetish.