The virtual eyewear demo is pretty cool!
The closest thing I've seen to this is DITTO (http://ditto.com) where they create a virtual head using your webcam onto which you can then try various glasses and see yourself at different angles. But that requires an additional "head scanning" step using flash, which isn't needed here. The range of motion is also limited.
I hope this type of technology will be standard in clothing/accessory sites in a few years - I can see it working for ear rings, watches, ties, t-shirts, etc.