We had a $25 limit but I got a Starbucks mug ($8-$9) and put the rest on a gift card. You could definitely use this approach too. Several people at my work were fighting over it, and I figured if they're not a coffee/tea lover, I'm sure whoever gets it will be able to regift or give to someone who is.
We do $10 gift with my husband's family and everyone's interests are different. This year I got a big bottle of laundry detergent. I'd rather get something I could use even if it's not exciting than something I never will. Subway gift card is a versatile idea too! Another gift that went over well in the past was a plastic bag holder/dispenser so that you can store used plastic bags without having them all over the place - you just stuff them in this small metal container.
Re: Ideas for work gift exchange?