I don't think VLC player is available in the App Store. They have removed VLC player from the store. As of now the best player available is Elmedia Player. The second choice you can go for is Supreme Player.
1) Elmedia Player
It can Play any file type, be it AVI, MP4, LV, WMV, MKV, MP3, M4V etc.. it is an all in one solution, that does not need any additional plugins or codecs
2) Supreme Player Lite
The supported formats include MPG, MPEG, MPEG 2, VOB, DAT, MP4, M4V, TS, RM, RMVB, WMV, ASF, AVI, MKV, 3GP, FLV, MOV, H264/X264 1080p/720p HD video and all audio formats