I would stay far away from bulk discounters of iPods or any other item that is authorized-dealer only. Either they are flat out scams (sometimes some innocent selling as an 'agent' for a scam artist), or they are people selling on spec who may not be able to deliver because they don't actually have the produce, or they are stolen-to-order products or used, or counterfeit, or some combination of the above. Trust me, there are not enough Apple authorized retailers going out of business and auctioning off their inventory to supply the grey market in these things.
Why would you suppose that some person in Skokie can supply iPods to you cheaper than stores can get them? Are you under the delusion that there is so much markup on iPods that stores are making 30% or 20% or even, gawd help us, 10% on Apple product?