Brand New Ipod Shuffle 4th Gen Buttons Don't Work?

I just bought my mum an Ipod Shuffle 4th Gen for Mother's day. I just set it up on the computer, ripped some of her CDs onto iTunes, let the iPod charge a little and synced it up with her songs.
Turned it on, music started - then I pressed the 'next song button'. Nothing happened. Held it for a while to see if it would fast forward. Nope! Tried skip back, tried volume increase/decrease... none of them work. It's only the buttons in the white circle that don't work, everything else seems to be fine. I tried holding the play button to see if the buttons had been locked, but whenever I lock/unlock the buttons it always flashes orange as if they're permanently locked.
I reset the iPod - no luck there. I then went into iTunes and did a factory restore - but the problem persists. We don't have an iTunes store anywhere near us (I'd have just popped in there with it) and I really don't want to have to go down the route of sending it off for a replacement/refund if possible, as this is a gift and I expected it to work out of the box. Is there anything I might be missing, any hints or tips, or does this definitely seem like a hardware issue? At the moment I'm just letting it charge fully before I try again, though I'm not sure that will help.

Your iPod comes with 90days of complimentary tech support from Apple.... give 'em a call... they should be able to assist

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Hello Docrwm,
Welcome to the Apple Support Communities!
I know you have already completed some great troubleshooting steps for this situation where your iPod shuffle is not appearing in iTunes and not charging. There are a couple of different troubleshooting steps that I may recommend in this case. First, if you have not completed all of the enclosed steps, I would recommend working through the troubleshooting steps in the following article.
iPod not appearing in iTunes - Apple Support
If the issue continues after the above troubleshooting, I would suggest working through the iPod shuffle Troubleshooting Assistant.
Apple - Support - iPod - iPod shuffle Troubleshooting
Have a great day,
Joe

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Best regards, Alexander Chernyaev.

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Brand New Ipod Shuffle 4th Gen Buttons Don't Work?

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