A bit of a late reply, I am afraid, but:
Having been looking for some kind of conversion software for a while, I have just bought SPB Mobile DVD for the princely sum of £10 and I heartily recommend it.
It is very simple to use, reasonably quick at converting and the quality of the movies is excellent; it has enough options to tweak it if you need to. I am sure that I could find fault if I tried hard enough.......... but it could take a while.
Well worth the investment
http://www.spbsoftwarehouse.com/products/mobiledvd/?en
Regards
Gofer