Admittedly I haven't purchased the effect, but I'm pretty positive I know how the first half works, and since nobody else has answered yet, the shuffling process happens exactly as you see on the trailer and they can shuffle however they like and as long as they like before you gather them up.
For your second and third questions, I'm pretty sure the answer is more or less yes as well, but it sounds like you didn't pay very much attention to the trailer. If one who knew the method described it like that I'd call it pretty misleading, but technically true. In some cases the trick would work fine, but the method would be tipped.
Hope I helped, rewatch the trailer and wait for somebody who actually purchased the effect to chime in.