I love this idea but what do you do after your child finds the elf? Do you leave him there all day? or do you move him? I ask because this has got me stuck a couple of times because you aren't supposed to touch him.
If he is in a convenient spot, then I just leave him, but if not then I clean up whatever mess he's made and let him sit in our pencil cup for the day. In our house the rule is that the kids cannot touch him but parents can. :)