The average person if much more comfortable with keeping track of a physical wallet than a file that can be corrupted/deleted/etc (yes I know its crazy. the file can be copied and backed up in 72 different places and the physical wallet only exists in one place! but its also true. Only a very small percentage of the population is comfortable with assets that exist only in intangible form)

Here are suggestions
- Ability for automatic offsite encrypted backups that occur after every transaction (storing bitcoins in the cloud) and "password recovery" features in those cloud services
- Ability to easily use multiple wallets and transfer between wallets (I'm talking large buttons in the client that are like "Checking Wallet" "Savings Wallet" etc)
- Ability to have a physical card that bitcoins can be transferred to
- Easier ability to store bitcoins in a bitcoin bank
- Bitcoin banks with legally binding guarantees (ie; you can store up to 10000 BTC with us and if we get hacked or detrayo your btc somehow, we are on the hook)
- More services like My Bitcoin

There are no alterations that destroy the ability of BTC to be used exactly as they are now, just modifications that allow some users to forgo some decentralization or some pseudonymity for ease of use/greater security/whatever.