I just finished quilting a wall hanging for a friend. She gave me a pieced top and back, I quilted with batting, and then she is going to add the applique. Her applique pieces are double fabric with fusible in between the layers, and she will either glue them down or do minimal stitching. I haven't heard of doing this before, but my friend does beautiful, meticulous work on everything she does, so I'm sure it will come out stunning.