I kind of cheated. I went to my local Archiver's store and used their cut-outs in their craft room to make my letters out of brown card stock, but you can easily use stickers or if you have a Cricut, cut out your own letters. Here is a close-up of mine:
The white scallops were cards that I bought and the colored circles were punched out of shimmery card stock with a round circle punch. Then I just glued it all together and strung it up on some ribbon!
What do you think? Is it a keeper?