I might have a bag buying problem... I own way too many purses, totebags, and reusable shopping bags. My favorite brand is baggu - they have so many different colors and patterns!
I used one of their canvas duck bags for a cross-stitch project - and used these water soluble canvases to stitch on top of the bag. Basically you attach the canvas to any type of fabric, start cross-stitching right on top of it, and once you're done you soak the project in hot water and the canvas grid melts away - like magic! I also used this DMC tapestry wool, which is very similar to the yarn I usually work with, and comes in a variety of gorgeous colors.
For this deer cross-stitch I quadrupled stitch size, so they're bigger than your average cross-stitch, but not as large as my normal cross-stitch pieces: