There seems to be a lot of, for lack of a better word... "confusing" input being offered.
To give you my experience, I will explain the following
I derive my main source of income from Photography.
I work for myself as a Photographer
Canon D60 - Circa 2002
Canon 60D - Circa 2010
Nikon D60 - Circa 2006
Confusing yes. Why? Who knows.
Full Frame Bodies (True 35mm format)
Canon 1Ds / 5D series
Nikon D1x D2x D3x / D700 (FX Series)
Sports Factor Bodies 1.3 Crop (APS-H)
Canon 1Ds
Nikon D1H / D2H / D3H & D3S
1.6/1.5x Crop Factor "Enthusiast" bodes (APS-C)
Prosumer - Canon 10/20/30/40/50/60D
Consumer - Canon 300/350/400/450/500/550/600D
Enthusiast - Canon 1000D
Prosumer & Consumer - Nikon D40/50/60/70/70s/80/90
Enthusiast - Nikon D7000
What it all means
Simply Said.
A Full frame body with a 28mm Lens offers a true 28mm perspective
A Sports Body (1.3x crop) with a 28mm Lens offers a 36.4mm perspective and uses 79% of the optical capabilities of the lens by using less of the glass by extending the lens plane further from the sensor, which in turn increases the lens "size" (crude explanation)
A Crop Body (1.5 / 1.6 crop) with a 28mm Lens would offer a 42mm and 44.8mm perspective, respectively and as above uses less of the optics, but increases the "zoom" of the lens.
Now, before people ask me to hop off my high horse, which I'm assuming may happen, I will show you some of my work to back my statements.
Shot on a Canon 20D and Canon 10-22mm Lens -
Image awarded Canon AIPP APPA Gold Distinction Award in 2008
Shot on a Canon 5D and Canon 17-40mm F4L Lens
Shot on a Canon 40D and 24-70mm F2.8L
Shot on a Canon 5D MKII and 70-200mm F2.8L IS MKII
These are some of my images that I have shot as personal projects, work or for collaborations with designers etc.
A majority of the quality comes from the lens. However the sensor is only going to play a small part in the process. Anyone that says "you need more megapixels" is obviously confused and unsure of what they're talking about. Megapixels are merely a term for measurement of the number ox pixels recording photons of light as they mass through the lens onto the sensor plane. Having more pixels does not denote a higher quality image, it denotes more room for error in some respects as the physical limitations of sensor size:noise ratio is becoming a bit of an issue.
The sole reason one would buy an SLR would be that they're looking to photograph a majority of different subjects in differing situations and are looking for more latency in what they can do. The common misconception is that people assume that megapixels is going to help the quality of the images as the image is bigger, but its works against you in a negative. Personally, if I could carry a point and shoot for work I would. I've used a Canon G11 for a job before and the client was severely impressed with the results and never said "oh but you used a point and shoot". True image quality comes from the lens however there are many factors which will influence quality and I'll go over that now.
1 - Lens Quality; Simply said, if it costs more, chances are it has many fantastic elements in it to counter chromatic aberration and a number of other optical flaws created by using glass to tunnel light to a sensor.
2 - Sensor Quality; Despite my earlier sentiments, yes the sensor plays a part, however it's part in the whole process is minimal depending on your application. Most of the average "want better quality photos" users wouldn't know how to push the sensor to it's true potential
3 - Whether you're shooting in Raw or Jpg. Another convo for another thread
When it comes to price, I strongly suggest the Canon G11, it's stunning. Simply amazing... though if you want the next step the advice I've listed may help you in your hunt for a camera.
The Ixus80 Photo of the tyre and wheel lacks slight quality due to it being a little blurred from movement. (by the looks of it) and isn't really a testament to it's true quality. It's a flaw of a camera with an automated process.
I won't go into how much I've spent all up, but lets just say that some of the nicest cars on this forum have had less invested in them
which is a scary thought!
MISGSR - Going Pro is a big step, not easy and is often mistaken for very easy, I still struggle some weeks and have really lived with a tight budget doing it all, but that's the joys of business. If you're interested and studying, get involved with the AIPP in your state (www.aipp.com.au) it's the best move I ever made.
to4garrett - in terms of G11/G12 being light years behind, I disagree completely. You could argue it all day long, or you could ask Damien Bredberg (www.damienbredberg.com.au) how he won a major Australian award with one. Image quality comes from how you use the camera. There are so many variables.
My only other advice is BUY LOCALLY. You can still find a great price locally and that way you get an Australian Warranty and Australian Support. Many people don't realise that Grey imports lack warranty and support and for those features should anything go wrong, you need to ship your body to HK at your expense, and back at your expense.
Hope that helps