In my little world I have noticed that most all of my non-techie family and friends consider the iPod to be the default choice for an mp3 player regardless of any price differences. However, most of these same people would scoff at the idea of buying an Apple laptop or desktop as a waste of money when compared to a Windows machine that could be purchased for a few hundred cheaper.
There is a big difference in the price points of an iPod and a Macbook, and the iPad is right in between the two. It will be interesting to see if a $100 or $200 premium for the iPad compared to a Windows or Android pad will be palatable to the masses or push non-techie people to a non Apple alternative.