Make your own holiday pinata in the shape of a snowman, Santa Claus, etc. This activity is best done in a large recreation hall or similar room, or better yet, outdoors.
large paper grocery bag, or if you're ambitious, kraft paper
wrapped mini candy canes and other small wrapped candies
newsprint
tissue paper in appropriate holiday colours (red, white, green)
glitter, small sequins, coloured construction paper, other decorative items
tape, glue
twine
metre stick (yard stick) or broom handle
Lightly fill grocery bag with crumpled up newsprint and the candies. Ambitious sorts can create their own shape from brown kraft paper and fill that. :) Close bag and firmly tape shut.
Cut tissue paper into strips 3-4 inches (7.5-10 cm) wide. Cut fringe along one long side by snipping into it with scissors (don't go too close to the other edge or it'll rip).
Starting at bottom of the bag, wind tissue strip around bag in a large spiral fashion, gluing unfringed edge as you progress. Be sure to overlap the tissue slightly so as little paper as possible shows through.
When done, finish decorating your pinata as dictated by the shape you've chosen.
Attach twine to top of pinata and hang. Make sure there's lots of room around the pinata and keep those in the crowd well away from the centre of activity. Blindfold the first participant and provide them with metre stick or broom handle, and let 'er go!