Share your thoughts on "less is more" gift giving idea

I just read about an interesting gift giving tradition that significantly cuts down on the sheer volume of stuff kids get for the holidays. It allows everyone to focus more on the meaning of the holiday and less on buying, wrapping, cleaning up and tripping over massive amounts of gifts.

Here's how it works: Each of the kids gets 4 gifts including something they want, something they need, something to wear & something to read. Some parents also do Christmas stockings, Hanukkah gelt or grandparent gifts as well, but the sheer volume of stuff is significantly reduced.

I'd love to know if any of you do this for your kids or other family members and what your thoughts are about the idea.