I bought this used at Amazon after reading reviews for numerous iPod mini armbands. I had been tempted to get a 1GB iPod 2nd gen Shuffle (the tiny silver thing, $80), but after much thinking, I knew I'd miss the 4GB capacity. Then, I thought about getting a Nano, but there was nothing wrong with old Blue-y besides it dragging my shorts during runs.
So this was a $14 solution, and so far, it has been really great. Unlike other armbands I've owned, this one stays on my arm and doesn't even slip when I sweat (which gets extreme after a while). It comes with a thick skin, something I should have bought a long time ago, and a slit to shove the leftover headphone wire. Annnd, the velcro is secure yet peels off easily.
Note: As of 04/27/07, I am no longer using this because I got a new iPod.