The iPod Touch does far more than the Classic or the Nano. Neither of those have apps or internet access, for example, so they can't be considered a replacement, unless all your daughter uses the Touch for is music, which seems unlikely. You don't state the capacity, but it's probably 8Gb. You can get a new Touch with 32Gb or even 64Gb. I have a 32Gb iPhone, which curently holds 5,337 songs, as well as 170 apps.
Well you bring up a good point. In the past she has just used the ipod for music. However, I bought her a new iphone for Christmas. Here's where I'm really going to show my ignorance (but I'm okay with that)...Could she just be using her iphone as her ipod? Thank you so much for taking the time to respond to my question.
The iPhone can indeed be used as an iPod - there's an app for that, preinstalled, imaginatively named "iPod".
You can put music on the iPhone in exactly the same way you can with the iPod Touch - the iPhone really IS an iPod Touch, with a phone app.
IMPORTANT - if your daughter has bought music directly on the iPod Touch, make sure to sync it to the computer first: http://support.apple.com/kb/HT1848
I am seriously "old school." I use and prefer Blackberry, and have my own ipod that I use all the time just for music. I have to tell though that I've never had iphones explained the way you just did (essentially an ipod with a phone app). Now that actually makes sense to me. Thank you so much for your time and help.