(1) There are 2 main pain points: 1) for programmers it is building and debugging systems in non-interactive way; 2) for non-programmers is building contraptions using Excel and bubble gum – see some discussion on that here https://news.ycombinator.com/item?id=7363824
(2) Potential market size is around 20 million exiting software developers, based on e.g. this post http://www.quora.com/Ruby-on-Rails-Professionals/Where-can-I... Around 0.05% of that market needs to be captured to have reasonable ROI I guess.
(3) Agree with you. BTW, may you detail what is your background?