Love it. Robin Sloan has previously discussed this type of "production as performance" video on Snarkmarket but Pomplamoose has started using the term "VideoSong":
This cover is a VideoSong, a new medium with 2 rules:
1. What you see is what you hear (no lip-syncing for instruments or voice).
2. If you hear it, at some point you see it (no hidden sounds).
As NPR explains, the band is actually making a living from their covers...they sold 100,000 songs last year. Here's their album of covers on iTunes.