Razamatazz have recently released their puppet wands:
http://www.razamatazzmagic.com/magicshop_001/
I'd like to come up with some presentation ideas. As I don't have much time at the present, let me suggest one idea, and let others place their own contributions:
First, you make a little white "sock" to go over the end of your puppet wand.
After perhaps having trouble with a couple of other comedy wands, you tell the kids: "I do have another wand....but it always seems to make the magic go wrong. There's no point in using that wand. YOU don't want me to use THAT wand, do you?" etc, until the kids are begging you to show them the wand that makes the magic go wrong. Take out the talking wand, the business end covered with the little sock. Hold the wand up, and continue to patter, as the wand wriggles, and you vent: "It's dark in here! It's REALLY dark in here!" (I'm including very simple vent script that doesn't include any difficult consonants. You could choose to have the puppet whisper into your ear instead). Performer does double take, looks to see what that was....nothing. Etc. Finally, the performer spots the wriggling wand, removes the cover, and goes into the routine:
Over to you guys
:)

This is surely on my Christmas wishlist! Cant waiT.... hahaha