In this episode of the Achieve Podcast, host Taylor Baker interviews Erin McDonald, founder of Spilt Milk Nannies, a Seattle‑Portland babysitting service. Erin recounts how she entered childcare while studying at the University of Washington, becoming the first nanny for a fledgling babysitting network and eventually taking over the business. She describes the company’s growth to roughly 800 families and 100 nannies across multiple Seattle branches and Portland, noting a COVID‑induced dip and a subsequent rebound. A pivotal turning point was the creation of a custom scheduling and payment platform by a software‑developer friend, which automated availability, booking, and invoicing and enabled scale. Erin explains that the primary growth engine today is word‑of‑mouth, supplemented by targeted local ads in parenting magazines, community parent‑education groups, and a city‑wide “Kid Friendly Seattle” newsletter. She outlines current bottlenecks: higher caregiver rates, increased family cancellations, and especially nanny availability and last‑minute cancellations. When asked about AI, Erin says she currently does not use AI for matching or automation, preferring personal vetting, but a new developer may add owner‑focused analytics in the future. Looking ahead, she plans to revamp the nanny‑side user experience with UX designers and to build better owner analytics, while acknowledging the difficulty of applying standard metrics to childcare demand. Erin shares personal lessons about balancing her roles as former nanny, mother, and business owner, emphasizing empathy, personal connections, and the importance of keeping the service personable. When pressed to pick a 90‑day focus, she identifies reducing nanny cancellations and improving the nanny network’s reliability as the top constraint. The interview closes with Erin’s contact information and a reminder that personal, compassionate care is at the heart of Spilt Milk Nannies.
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Welcome to another episode of the Achieve Podcast, the show where we highlight leaders, creators, and entrepreneurs who are building meaningful businesses, shaping their industries, and having an impact. I'm Taylor Baker Baker, your host, and today we're excited to be joined by Erin McDonald, the founder of Spilt Milk Nannies, and you can find them at spiltmilknannies.com. Now, Erin, I am so excited to uncover the story because this is quite the niche that you have developed here. How did you get into this space and who are you currently serving?
Yeah, it was a while ago. I was at University of Washington, um, in 2010, and I thought I would study business, and I never actually got into like a Business 101 class. And then I did a sales and marketing internship, and it was the first thing I failed at. And so I was reading the UW Daily, like the UW student newspaper, and I saw an ad for this babysitting business. So I wasn't technically the founder, but I was the first nanny in it when it launched. And I was like, I worked with kids all through high school and I ended up studying speech and hearing sciences and leading a couple kids camps in the summer for deaf kids and children of deaf adults. And so I was really involved in childcare. And then, um, Spilt Milk was interesting because even though I was a nanny in the service, it was like up to me to like, you know, find families in the beginning and like form those good connections and stay, you know, professional, reliable, all these things. And so, um, I took over a year after it launched when the founder was graduating, and I was a sophomore in my undergrad, and I just saw the potential of like, this is the perfect blend of business and childcare. Um, I get communicate with a lot of families and obviously figure out their needs and then connect them to sitters. And then while I was in college, it was just so easy to find babysitters because UW is huge. Seattle U, Seattle Pacific, we have so many colleges in Seattle. So it was just a really good network to find when I was in a big campus. I'm from a small town, and so my saying is like, it was my community in college and It just was so fun to explore Seattle with kids and have a network because I was so used to knowing everybody from my small town. And then I came to Seattle and it was my little community of families and nannies and kids.
That is awesome. Now, how big is the organization today?
Yeah, so COVID really hurt, not gonna lie. I lost probably half the families during COVID Um, you know, parents were home and now a lot of parents work from home, so child care has changed. Um, right before COVID I hit 1,000 families across all the branches. Um, because I have a Seattle branch, North Seattle, South Seattle, and Portland. Um, and now I think I'm— I, I haven't checked in a while, but I think I'm close to 800. So definitely building back up. Um, yeah, and the nannies, it varies by branches. My Seattle branch is the biggest because I've been around the longest. I think I have about 100 nannies. Wow.
Yeah, that is impressive. That is like the organizational skills you have to have.
Yeah.
And so right now, as you think about the business, what would you say turning points, positive or negative, have molded the way you think about running and organizing the business?
Um, it would probably be my software developer. So when I was a nanny. I worked regularly for this one mom who helped me kind of like figure out if I wanted to take over when I was so young. I was like, should I do this? Like, you think it's a good idea? And she's like, yes, totally. And then a couple months later, she was like, why don't I build you a software? Um, so before the software for Spilt Milk, I had, you know, the scheduling platform, the website, um, emails. I would have to send invoices manually and had to do all the management tasks, obviously, like which at that point we had like 50 families, so it wasn't, um, it wasn't too hard. But I would babysit at night, the kids would go to bed, and then I'd send all the invoices. So it's like I was like doing my business work while I was nannying. Um, but once she built the software, it has a calendar that nannies input availability, and then parents can just search and schedule. It does all the like payments, um, everything like that. So That software has allowed me to grow as big as I am now, um, because I get to just obviously do the onboarding for parents and nannies, send them the link, they log in and can kind of take over from there. So that's been a big game changer for me in terms of growth. Um, it's also just the dynamic is really cool that she was a mom in the service, I was a nanny in the service and the owner. So between our like collaborations, we were like, oh, I think this feature nannies would really love. And she's like, oh, but this type for the parents would be great. And so I feel like it was a really custom-built software based on what the needs were of parents, nannies, and myself as the owner.
Wow, the complexity you're putting together there is impressive. And what would you say is driving growth for the organization right now?
Oh, uh, word of mouth, 100%. So I, I have so rarely marketed in my what, 14 years. Um, I like to say you please one mom and she tells all her friends. So all the families that have good experience, that book a sitter and they love it, they tell all their friends, oh my God, I just booked a sitter with Spellmilk who's amazing, and then they all join. Um, and so in terms of family, family growth, it's, it's really just word-of-mouth marketing. And same thing for nannies, like when I need more nannies and availability, I just send an announcement, hey, I need a little bit more availability, please tell your friends, and then I get a flood of inquiries from all their friends. Um, so that's where the, the community aspect and the network really comes into play because I don't want to like have commercials or ads. I want people to kind of find me when they need babysitting, or I want the nannies to find me when they have time and want to start babysitting again. So I kind of wait for people to hear of Spilt Milk from people they know.
Wow. Now, as you guys— have you— as you have grown back your business, what have been some of the biggest bottlenecks or obstacles that have shown up?
Oh, um, you know, I think before COVID people stayed in the service even if they only used it like once a quarter. Like, we just want this one Friday event, we'll keep it. I think I'm seeing a lot now where families will join for a quarter, book a few times, and then cancel, and then they'll come back when their needs change. So there's a lot more like canceling families. Most of the time they do come back. And then the rates have gone up a lot too. When I started nannying in 2011, the rate was $12 an hour. Now it's $25 an hour. And even that, it's kind of becoming low. I think a lot of career nannies are wanting as high as $30 or $35. Some of you even go to $40. And Spilt Milk is a flat rate chosen by the nannies. So $25 an hour is, I think, fair for babysitting gigs of just like you're stepping in for 4 hours. Doing childcare, cleaning up, all that. But the full-time nannies and more like household work is a higher rate. So that's been a big change over the years, especially since COVID rates have really gone up.
That makes sense. Now, when it comes to your outreach, your messaging, your marketing, what has been working besides word of mouth, and where do you feel the gaps and frustrations?
Yeah, um, I put ads in like the magazine Seattle's Child is a really popular one. Um, Parent Map is a popular one. Um, Seattle, we have this program called PEPPS, Parents Educating Parents, and it's just groups of new parents. And, um, each week they have like a topic, and there's a one week that's childcare. And so I always plant Spilt Milk Nannies for that. Um, so I, I focus more on like who is reading, and that's how I market. So like I put ads in those magazines about summer guide. I'll say book all your summer needs with Spilt Milk Nannies. Um, there's also this wonderful email right now called Kid Friendly Seattle. This guy sends an email twice a week of all the upcoming events, and I've sponsored an ad in that, and I got like 9 inquiries in one day. So when I am looking for families, I start with those, um, services that, you know, share to that network.
That makes a lot of sense. Now, with all the buzz and talk and questions around AI and automation, Where have you found ways to utilize it in the business and where do you still see opportunity?
Um, I don't use it at all right now. Um, there are a lot of other services that do AI matching and filtering and, um, there's a couple right now that just launched. Um, I think that my success with Sputnik is because of my involvement and the person— personable connection with every family and nanny. Every nanny on the platform has gone through like interview, background checks, CPR, are. I check references myself and whatnot. I screen the families as well. I make sure they have like reasonable expectations before they can join. And I really think that because I know everybody, that's why that word of mouth is so good. And I think with childcare, there needs to be a person involved. It shouldn't be just a make account, log in, and book. I think somebody has to do that vetting. However, this is kind of a big year because that original software developer that I mentioned from 2012, She transitioned to a full-time job, uh, last year. So we actually— I have a new software writer as of August 2025, and we're kind of like, should we implement it in any way? I think it would really only be for like owner data. I wouldn't want my clients and nannies to— well, I guess I don't see the purpose for a client and a nanny, a family and a nanny to use it because it's just the scheduling platform. So none yet. Maybe, maybe in the future, but I think it would be more of just like owner data and whatnot.
And I can see that, that to your point where it's like when you're dealing with childcare, having a person who knows the details, knows the needs, the interest, and so you can't replace that gut feeling.
Yeah, yeah, for sure.
Now when you think about the next stages of the business, what are you most excited about?
Um, I'm excited for this new software developer to see what she can come up with. Um, I'm working with a team of UW grad students, uh, UX designers right now to hopefully revamp the nanny side of the website. Um, because I mentioned we have like the parent side, the nanny side, and the owner side. And for so many years I've really prioritized the parent side because they're, you know, the paying families, and I want them to just be able to log in and book. The nanny side is very simple. It's just like a calendar and then policies. Um, and so I'd really like to kind of like beef that up, um, have some more like morale with how many bookings you work and how much availability and things like that. So I'm kind of focusing on the nanny experience these next couple months. Um, and then I would love more data as an owner. I, I don't have a lot of, um, backend analytics or anything. I've been really excited about that as we've kind of regrown. I think it'd be nice to see some stats, but it's tricky because like I mentioned, families cancel, nannies leave during a busy quarter, they come back. So trends to me doesn't really apply to childcare because every family's need is so different. So as much as I'm like, I want data, I want stats, I don't need a bar graph of bookings because it's gonna vary.
Yeah, I can see that. Well, now when you look at your own journey, the wins, the mistakes, what lessons stand out and what do you wish you understood sooner?
Ooh, I, I, let's see, when I started, I was, I was young, I was in the Nanny Network, and I loved meeting nannies. I was like, this is so fun. Um, I really got to have that gut feeling and really put in, like, I think this nanny would be so great with my main family, right? I had all those connections. Um, I'm a mom now, so that has been a really interesting transition from being a nanny for so many years to now having my own kids. I have a 3.5-year-old and 9-month-old. And I don't think it's changed my screening. I really think that I did fine before I was a mom. I think as a nanny, you know what's expected and you know what's fair and reasonable. And I was able to figure out if the nanny kind of had those traits, right? As a mom now, I think there's a different level of respect for other moms, right? So I think I'm a little more understanding from the family's perspective. And, you know, I can just feel how inconvenient it is when a sitter cancels. You know, like, I've always tried hard to find replacements. Now I'm just like, oh my God, I feel sick to my stomach when a sitter is sick and cancels, you know? So I think just I would say I'm more understanding for the families. Which I always have been, but it's— and I have many hats now. I'm like, am I answering this as a babysitter, as a mom, or as a business owner? And, and that's been really a learning curve. Sometimes at the park people are like, are you the nanny? And I'm like, yeah, oh no, these are my kids, but I have been a nanny, you know. I still have to really catch myself there.
That's awesome. Wow, the complexity that you, that you are navigating through is impressive. Now, Erin, if you had to pick one constraint to focus on and solve over the next 90 days, what would it be?
Ooh, probably nannies canceling. I mean, that's so hard. People get sick. I don't always have availability. Friday night, Saturday nights are busy, right? Their schedules change. College will change a final. Or right now I have like 6 soccer players at Seattle U. So when they change their practice schedule, I have all these afternoon bookings to change. So it's a small let. I need I need available nannies, and there's so many families in Seattle. These tech transplants move here and they don't know anybody, and so I'm like giving them this network. So I have to keep that nanny network high. So available nannies, healthy nannies, having replacements when things come up would be something I would love to solve.
Wow, that, that is a lot of moving parts that you're navigating.
It's a juggle.
Erin, thank you for coming on and sharing your story, your insight, and the problems you're solving for so many. Any final words for our listeners or other leaders on a similar journey?
Um, anything with childcare, I just really want to stress, should be kept personable. Um, and they have a— it's a hard world right now. I think going into every home with a really open mind and accepting all the different types of nannies and, um, just being kind and compassionate. And that can go a long way for children and adults and young adults. We're all in different phases, but I, I just love forming those good connections between the nannies and the families that are like, I love these parents, I want to like be friends with them. I think that I loved that in college too, is having those role models in the families too.
That's awesome. And for those who want to learn more, they can go to LinkedIn, they can go to Spilt spiltmilknannies.com. Anywhere else you want to send them?
Um, I'm an open book. You can always email me. It's just erin@spiltmilknannies.com. Um, I love talking childcare and business and entrepreneurship.
Oh, that's awesome. I love that. Thank you so much. And then thank you to our sponsors of today's episode, Achieve a Fractional, which provides fractional executive leadership for growing businesses. And if you enjoyed today's episode, share it with a friend, with a colleague. If you're a busy mom, working parent, and you're in the Seattle area, reach out to Erin and the team and they will get you taken care of and you'll be in great hands. And we will see you all in the next episode of the Achieve Podcast.
