Quoted from herg:

Seriously, I tried three years ago to get agreement to just buy for the kids and not the adults, and I got a "meh" response. I then suggested drawing names, and got "I can't do that. I love all of you equally." It's so entrenched that I just gave up. I don't need them buying me anything to feel appreciated, but what can you do when they insist?
If you have a family where you could get by with "Thanks for the gift. I didn't get you anything, but IOU one. Look for an email with a gift card." and no one has any hard feelings, I can pretty much guarantee you're the exception to the rule.

Quoted from RyanStl:

We only do gifts for our parents and our siblings kids. We figure once you have kids the gifts go to them. Our parents still get us stuff plus the kids. I imagine once I have grandkids I'll still be spreading it all around.
For my parents we long ago switched to consumables. My loves it when I bring in a huge load from Trader Joe's becuase they don't have one.
For our adult friends, we do a white elephant/steal your neighbor every year. I mostly regift crap my mom and aunt give me the year before.