You really need to know what you want to do with it. I just bought a new camera and I had very specific ideas of what I wanted, primarily lots of zoom, I got 12x. I got a panasonic that was discontinued for the new model. Circuit City had a great closeout sale, I couldn't find it anywhere else so I bought it from them (I had been boycotting them).
it's 6MP and 12x and the zoom is precisely what I wanted for vacations and fishing. My girlfriends digital has almost no zoom and it drove me nuts trying to get good pics in Baja and the Philippines of orioles I was following around. I spent a week before I finally got an oriole to land close enough to me in Baja to get a good shot, now with zoom I won't need that. Will also hopefully allow me to get a good action shot of a fish jumping which I could not do with the old camera.
I'll be taking it to Baja in late July and hopefully Australia and New Zealand in Feb so it will get a great workout.
If all you want is pics of family at Xmas, BBQ's and stuff like that, you won't need anything like 12x zoom.