I have a little fm transmitter, and yes it 'works' as in I can hear the music, however, it sounds like a really bad alba c90 cassette tape that's been used, with sellotape over the 'record' tabs…. It requires re-tuning every so often and I have to pick up the ipod to skip a track/whatever.
What i'm trying to say is, spend a few quid and find a head unit that can accept either an ipod connection, or one with a line in.
As it happens, I sourced my folks a kenwood cd head unit with bluetooth & microphone and an ipod kit for £80 (from a mate who removed it from his van) ebay could be a good choice!
jt