This isn't pickpocketing, this is misdirection combined with sleight of hand, and having people ALLOW YOU TO TOUCH THEM. This is easy, and is NOT pickpocketing.
It's called stage pickpocketing, the people know that they are being touched obviously but don't realize things are being taken from them. Misdirection combined with sleight of hand is basically the definition of pickpocketing, so I'm not sure what your point is. As a side note, street, or "real" pickpocketing, as you call it , almost always involves more than one person. Sometimes three or more people are involved, so some people would say this is more impressive.
