We do a "home made" gift exchange. Participants (in October) put a favorite piece of fabric in a brown paper bag that has a number on it. The facilitator, has a list of all of the people who are participating and gives out the bags. (You cannot get your own.) The recipient has to make something using the bagged fabric, but it can be added to, used on the back, etc. Folks have made mug rugs, small wall hangings, ornaments, etc. Finished gifts are then given back to the original participant, at the December meeting. Clear as mud? Maybe I can explain better.
Mary puts fabric in Bag #1
Jane puts fabric in Bag #2
....and so on....
Mary gets Bag #2 and has to make a gift for Jane (using the piece of fabric in the bag)
Jane gets Bag #1 and has to make a gift for Mary (using the piece of fabric in the bag)
....and so on....
Hope this clears things up.