buffy, there are a number of products available, including some by some of our members and moderators. However, we don't do specific product reviews or give recommendations, one way or another. It's more productive to discuss the principles behind tools and techniques; that way everyone can benefit.
>Cloaking, in itself, will not necessarily improve ranking.
True, and there's also a lot involved that takes additional specific skills and experience.
>>E-commerce with over 3000 items. Very competitive field.
Most of the cloaking packages within that price range, (including the one you mentioned) do a fine job from a technology standpoint. However, you're in for a ton of work trying to use that type of software package with 3000 products.
If they're serious about using IP delivery for that size of project, they should probably consider something a bit more robust.
If you are promoting 3000 different items, you'll most likely need to spread any cloaking effort over several promotional domains... I wouldn't recommend cloaking on the main website domain.
The act of cloaking itself won't produce better rankings, but many cloaking software packages make it easy to generate doorway/entrance pages and hallway/sitemap pages based on templates. This could make your job much easier. I believe there are some software packages available that allow you to create the doorways as standard HTML documents as well. I don't know if the fantoma cloaking package will do this.