H.,
My daughter will be 20 months at Christmas, so we are going through the same thing. I am not sure what the "designer toy" of the moment is, but my daughter loves anything that is like what mommy and daddy have. The 'Parents' line of toys have all sorts of thing, like a mini laptop, camera, ipod, cash register. They all light up, or play music, and pretty much all come in under 30.00 a piece. My daugher loves her "mypod" which plays about 15 different song so I got her the laptop for Christmas. She is also getting her first dollhouse, so that might work for your daughter if she does not already have one. Just check for small pieces!