I had an idea for in iPhone app just like this. In my head, I called it "WriteHere". I didn't make it because it seemed like a classic chicken-and-egg problem: the app won't be compelling until it has a lot of quality user generated content and it won't have a lot of quality user generated content until it is compelling.
So I'm baffled about your business model of charging users for the exact thing that adds value to your product. It seems self-defeating. Why not at least give an intro period to get some users on your platform?
If you're going to keep going with this idea here a couple suggestions: - Re-work the pitch. Make it have 30% of the words it currently does. Make it clear what's cool about the idea. - Add a voting system so that users can vote up quality Sqeels. - Make a contest where the first user to find a specific Squeel posted in a specific hidden location wins... something. Not sure what is allowed by Apple's restrictions though.
Hope this help, good luck.