Ok so I stumbled across baking as something we can level, are there any other activities like this besides battle skills because that is really neat. Also I keep getting hobby items, can we do something with these or are they just for collecting?

Alchemy is the only other thing I can think of offhand, but you do need to be a zombie in order to access the place where you make the items. If you don't already have one of those skins in your wardrobe, you'll have to wait until the Survival holiday when they become available.

Not sure what you mean by hobby items. Do you remember the name of one of them?