And you're right I certainly would want to waste my items on someone that would just think they are tacky.
Right. I feel like I didn't explain myself well before, and I"m having a hard time wording it now. If the person had given the gifts to one of your coworkers, well obviously they don't use the product and therefore would think it's "tacky" because they probably feel the items didn't cost the woman anything. So if you were to give something to someone like that, they might think the same.
If you were to give me some Amway product I don't use, I might have a moment of thinking the same thing (before remembering that it actually had cost money or the opportunity cost of selling it to someone else)...but if you were a Creative Memories consultant and gave me some goodies, I probably wouldn't. It's all in the perception.
I actually was given a Mary Kay lotion set from a friend who was a MK consultant at the time, for my bridal shower. I didn't think it was tacky at all. I barely used it, because I rarely use lotions, but she wanted to change that.

It would have worked, too, except I got pregnant immediately and my sense of smell changed, and I couldn't bear the scents.

I was so bummed that I only threw them away last month. Um, I got married in '03.
Saying "Thank You" with a gift is sweet. I would be touched by it. It doesn't matter where it comes from. But now I'm getting a little worried. I recently attended a basket auction for a good cause and won several baskets. I don't need the baskets but I know that they fit a few friends. Is it wrong of me to give those baskets as gifts to people I know would enjoy them just because I didn't purchase the things myself?
You bought the baskets, and you know your friends enough to know who to give each one to. I think you'll be fine.