Most likely this is real and no stooges involved. I've seen this before by Paul McKinna (though he's gone into the more "self-help" side of hypnosis) where he instantly hypnotizes people one the street and have them do amazing things.
This falls along the lines of Derren Brown's work. One of the great talents of Derren is the ability to find suggestible people in a given environment. That is, a good hypnotist isn't a person who can hypnotize quickly or get someone to go under when others can't, a good hypnotist is someone who can spot a more suggestible person and make their world at that moment, more likely for them to take the suggestion. Also playing on a little bit of the confusion technique, the hypnotist can put suggestible people under very easily.
The other thing about being in the street that a lot of people forget is this: Cameras and crew. If you see someone on the street talk quickly and confidently, with a camera and a crew behind her or him, you might be thinking that the person is a performer or here's a chance to be on television or that the person is special and will do something special to you if you volunteer. This sets a person up to be even more suggestible.
Also, a camera is a really good tool for editing out the "bad bits". It may have been a 30 minute show, but I guarantee you it took a few days to get the good bits.
I have done instant hypnosis at parties but never on the street. That's because at parties people know I'm a "special guest", know why I am there, and are more open to my suggestions.
EDITED TO ADD: You know, guys, I'm giving away my secrets here.... I could write a book and get $12.95 a pop for selling this info...