I got DD one of those digital cameras. they are called kid tough cameras. Run about 30-40 bucks. She LOVES it...but it takes tiny pictures, great for beginners though.I hear they were working on a waterproof version that you can take underwater, still waiting for it to come out.

Easy arts and crafts books are a hit as well as most of the craft kits. One great thing about five below stores they have a huge selection of arts and craft stuff. DD is 5 now she likes making soap and magnets and anything she can paint. She is beginning to like pottery now.

Oh the beginner sewing kits (they are like big foam pre punched pieces with the plastic needle that you use yarn with (she loves these too!)