The ribbon loops are perfect for hanging ornaments or candy canes (I've even put ornament hangers on Hershey bars and hung them from each loop for my version of a Chocolate Christmas tree!)
While pinning each strip together, just pin the raw edges of folded over ribbon (each length about 3" long) into the seam. You can use as many or as few as you want. I chose to use different green ribbons, but there is no reason you couldn't use color.
The trunk is just a narrow brown strip sewn in the center of the last row.