These are my thoughts on all of this. For the first few years of a childs life, all experiences are magical. Everything a child sees, he or she believes is real. Because they know no better, they do not question anything. This is why Santa Claus is such a success. Kids dont analyze the fact that it would be impossible for this one old man with a beard to travel the planet on one night of the year, and deliver presents to all the children! They simply accept the truth of this.
I think it is wonderful to do magic for the 2 to 5 year old age group, but it should naturally be presented very differently to the way you would do it for an older child or an adult. Remember, the children at that age are not questioning any of it, and are not looking to work out the secret. They do not, in fact, know what a secret is. They believe it is magic. However, they also love to laugh, and they love it when you are silly.
If you combine your abilities as a skillful magician with your abilities to be silly, funny, and likeable, the kids will love you. A great routine I do for this age group is the Hobson egg bag. They just love putting their hand in the bag, searching for the egg, and then it appears from behind their ear. I would have to say that most magi who are great with older children or adult audiences, are often out of their depth with this younger age group. However, those of us like me who have no problem connecting with the pre-school age group find it most rewarding. Give me a group of three year olds, or a corporate function of inebriated construction workers, and I will go for the little ones any time! JR