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In this tutorial, the creator demonstrates how to make handmade tags using Microsoft Word. They mention that a separate tutorial will be provided for using Silhouette Studio, but any software can be used. These tags are versatile and can be used for various items like t-shirts, gift bags, and party favors. It is highlighted that the tags can be hung with ribbon or keychain links. The process begins with opening Microsoft Word, saving the file as a Word 97-2003 document, and naming the file.