I initially preordered the V1, most of the lens, and the flash. I realized I was getting a Nikon 1 camera so that I don't have to carry so much camera equipment. I cancelled the V1, and I purchased the J1 black instead. I am glad I did.
I think for most people the J1 and 10 - 30 mm kit is the best choice. The 10mm pancake lens is nice if you want to do a lot of shooting in low light, but you can't zoom. Most of you are used to zooming, and when you can't get closer with your feet because of some barrier, you won't be happy. Many are posting that the 30 - 100 mm lens is very good too. I would have gotten that one for my J1, but I have Nikon lens for my Nikon dSLR D5100. I plan on buying the adapter so I can use my current dSLR Nikon lenses on the J1 for fun.
The J1 is a great little camera, but you do need to read parts of the manual. If you are someone who likes to capture the moment, this camera is very good in bright light. The colors (white balance) is very good, and in bright light the camera will focus more quickly than most cameras out there. This is great camera for someone (example, my wife) who likes to just shoot and not worry too much about all the photographic technical mumbo jumbo.
The Nikon 1 cameras are very good in both pictures and video. I think there is one other mirrorless brand that does video as good as the Nikon 1 cameras. When I use my D5100 Nikon dSLR for video, I just have to accept the fact that there will be enough moments where the D5100 is trying to find focus, and so the video will have many small instances of a blurry picture. For most of us, the video of the Nikon 1 J1 will be very good for our family and social events. The Nikon 1 J1 has better auto focus video than any dSLRs out there.
My previous ''small' camera was the Canon S90. I really liked it. I have compared the J1 to the S90. You have to increase the sharpness in the J1 menu settings to match the sharpness of the S90. The J1 beats the S90 in color accuracy. I love the colors (white balance) from this new camera. It is as good or slightly better than my Nikon D5100, which is a great dSLR.
I am enjoying this new toy. Hanging the camera on my neck or shoulder is much more comfortable than my DSLR. If you can afford it, I recommend getting the J1 10 - 30 mm kit. In bright light it is fantastic with great fast focus and great color. You do need to read the manual on the topics of vibration reduction (VR) and active dynamic lighting. For pictures you will want the VR to be on 'normal' most of the time. For video, you probably will need to put VR on 'active.' This is currently the best camera for both very good pictures AND very good video. As a father, I really regret not taking enough small video clips of my kids, especially of them speaking. Like any camera, you do need to use good holding technique, read the manual, and learn to use this new toy if you want to get the most out of it. If you just like to point and shoot, this will do that too.