Best fabric to use are very soft an snuggly fabrics. The blue one i used was called poodle fur or something silly. Snuggle fleece or something similar is ideal.
For the ribbons i tried to get different textured ones so they feel different to the baby.
cut two squares the same size from your chosen fabric. Any size will do, i did mine 12" x 12" (plus seam allowances)
cut your ribbons in different lengths and arrange them around the edge of your squares.
When you pin the ribbons down, do it on just one of your squares, and make sure they're pinned so the ribbons are on the fabric...
NOT STICKING OFF THE EDGE OF THE FABRIC LIKE THIS!
Sew around the edge ribbons on to one piece of your fabric to secure them.
Now get your two sauare pieces and pin them right sides together.
Sew leaving an opening to turn through.
If you want to sew an applique on then do it now, then sewing the opening closed.