I have to agree with some of the other posts here. If what you are after is making XX a more appealing product to the average user on the street, then the 2 main things they would probably use it for are Desktop and Web publishing. This is aside from photo touch up which is in the domain of XPE (which will need allot of work to challenge photo shop)
If you can provide users an easy (read templates) interface for producing fliers, banners, business cards, etc. I think that the users will learn the other functionality in the tool, like how to create shapes and drawings.
Also, if you were to provide better integration to Webstyle (where you already have the templates) and allow the users to create new designs for it. I think that more people would be enticed to use Xara for a one stop shop for their graphics needs (except where noted above).

That's my 2 cents...

Eric