A point and shoot camera can be the right tool for most people's needs. But there are so many options available in todays market that it can be confusing and even stressful when trying to decide which point and shoot camera to purchase. You have come to the right place to gain the understanding you need to make your decision.
My first recommendation for you is to have fun. Shopping for your camera can be fun and exciting. Enjoy the ride.
For most common uses a point and shoot camera will do you just fine. The quality is so high on many cameras that you often times don't even need to consider the more expensive DSLR (Digital Single Lens Reflex) cameras.
If your intention is very high quality or artistic photos then you should consider purchasing a DSLR camera. But before taking that step you need to ask yourself if you really know how to use it. The learning curve for DSLR's can be high. They will almost always take higher quality photos than a point and shoot camera will, that is if you know how to use it properly. Many people simply use their DSLR's in Auto or Program modes, and they are wasting their money in the process. They should have stuck with a less expensive point and shoot camera to capture nearly the same quality.
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The first feature camera manufacturers always try to sell you on is megapixels. These days it happens to be one of the least important factors. Most of the current popular point and shoot cameras have at least 10 megapixels. That is more than enough to print a very nice 8x10.
The first specification I look at in a point and shoot camera is the amount and type of zoom the camera has. This is commonly displayed as 4X or 5X, etc. When you have a camera with a larger number like 8X or more you are going to have a larger range from fully zoomed out to fully zoomed in. Larger is better. But it's important that you look for optical zoom as opposed to digital zoom. Some manufacturers will try to trick you with a digital zoom when all it really does is give you a poorer quality image the farther you zoom. You can purchase a camera that has digital zoom along with optical zoom as long as you don't use the digital zoom.
Now that you have a nice long zoom lens you need a camera that has Image Stabilization (IS) or Vibration Reduction (VR). These are simply different names that different manufacturers use for the same feature. What it does is it minimizes blurriness in your photo due to camera movement while you are holding it. This is a very valuable feature that you should make sure you have in your camera.
Next you should consider the size of the camera. Some cameras are going to be built like a brick while others are going to be so small you could easily put it in your pocket. Many people like the larger sizes that allows you to have a firm grip on the camera. Plus many of the high quality features may require a larger size camera. While other people prefer the convenience of a small camera that can be stowed away in a pocket or purse.
One thing that is difficult to know without using the camera first is the image quality. In the film days the images came out pretty much the same between different cameras as long as you used the same kind of film. The same can't be said for point and shoot digital cameras. There are many variables that each camera uses to enhance the image for you. You should do a little research for reviews on sites like Amazon.com and DPReview.com. On these sites you can find great information from people that have first hand knowledge who aren't afraid to tell you what they really think. Just keep in mind that there will always be reviews from people that aren't happy about anything.
There are usually things you can add to your purchase that could be a big help. The memory cards that are packaged with the camera are almost always too small. They do this so that they can keep the camera price low. Unless you want to constantly be uploading your images to the computer I suggest you invest in a larger sized memory card for your point and shoot camera. You should also consider a bag to store your camera in.