(Warning to Grandma - the boy at the very end has a terrible potty mouth, I'm sorry! But the rest of it is pretty funny!)
The boy who freaks out over the Hello Kitty shirt was kind of a butt on the Halloween video too, if I remember right. He's like the villain on a ton of different kids' movies - Dudley from Harry Potter leaps to mind first.
I like the idea of people messing with their children, but it would be super-hard for me to give the kid a good, real gift on Christmas if they had a giant, ugly meltdown over the joke present.
The ones who are just puzzled or dismayed are the best. An old banana... ?