We have some leap stuff. The fact that they use the same damn recording for everything drives me crazy. The kids never really got into the leap pads, and the leap pad junior never worked right. I think my 3yo would like it, if it would operate as it's supposed to. If I had to pick one Leap product, it would be the refrigerator magnet toys, either the letter toy or the animals toy. Kids all seem to love them.
I always like to see what other people are buying, to get ideas, so here are some of the things we've seen recently. My 3yo is getting Boomwhackers for Christmas. (http://www.amazon.com/exec/obidos/tg/detail/-/B0002F6MAK/...) For his birthday, he just got a set of dinosaurs that he loves - he's really into imaginative play. People also got him construction toys - lincoln logs and Wedgets. The nice thing about classic toys like blocks and lincoln logs is that you get a lot of mileage from them - now my 6 yo and 3 yo play with them together (OK, the 6 yo builds and the 3 yo knocks down, but they have fun.)
Also, I find that the Fisher Price and Playmobil playsets are great for this age. People tend to buy them for toddlers, but at 3-5, in my experience, kids get a richer, more imaginative play experience. Playmobil has some great stuff, and it tends to go on sale this time of year.