12" or larger paper doilies
pencil
scissors or craft knife
tape
cupcakes, homemade or store bought, as long as they're the normal 2" size.
wrapper template
Lay the template on the doily (can be on multiple doilies). Trace with pencil and cut out.
Wrap around cupcake and secure with tape.
Different heights.
A 12" doily will fit 3 wrappers if they are the smaller size, and two of the larger. I paid $2.50 for 8 doilies (enough for 2 dozen cupcakes), but they are available for much cheaper with a little bit of searching.
This blog also has instructions to make wrappers out of scrapbook paper and to edge it with craft scissor.



Cute idea!
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