This is what you do:
Go to a store that has all the small baby items you can find. Little travel packs of diaper cream, bath lotions, shampoo. Receiving blankets and face clothes are great because they are generally already rolled up. Any small item will work. Nail care sets, small toys...I will explain why and show you how it looks. Make sure you get a stuffy of some sort to go on top.
Take some size 1 diapers in stacks of 4-5 and set them on their sides creating a small diamond/square shape. Fill in the center and add more diapers on the corners creating almost a round shape. Add more using the same method until you have a large circle. You will need almost a full mega-pack for this layer and another half for the second. Have someone hold the shape and cut some ribbon. Loop it around the circle and pull tightly to tie in a knot. Be very careful at this point because if you pull too tightly, the ribbon will ride up on one side and the layer will fall apart causing some frustration (yes, I know this from experience). Make a smaller circle to go on top.
Make sure you stack the layers so that there are a few diapers on the bottom layer exposed. It will look like a tiered wedding cake. Start putting small gifts in the cracks. The blankets work nicely in those hollow spots that are inevitable. Now I will give you a visual...
this shows all the little things before it was wrapped
a little closer
Now, I should have said this earlier, but make a cardboard cut the same size as the bottom layer (before you put anything on it, set the bottom layer on the cardboard to trace). Place it under the whole thing as you create. Look for some baby oriented clear cellophane or a solid color that is clear or light will do as well. You'll probably need 2 rolls. They are never wide enough it seems, so you have to set the first roll down, then the second over it perpendicular to the first creating a square center to put the cake on--cardboard and all. Bring the inner layer up around and see how much you have left as you will make a neck with ribbon strands when it is ready. Pull the other roll up around. You will have to mess with it a bit to cover the entire cake (depending on the width, of course). This is how it looks when I present it to the new parents...
See what I mean about the size the the wrap?
I had a friend show me how it to these while I was pregnant with Seth. I always thought it was a unique and thoughtful gift.