I think Bitcoin needs a currency system reform. The way it is now, it's scaring people away, even though it is just psychological. Using other units like mBit is not much helpful either.

The best way is to continue to use 1 Bitcoin as a unit name and move the radix point 3 steps to the right, so:

0.001 old BTC = 1.00 new BTC.

In countries where hyperinflation occurs, it's a common approach to make a monetary reform and usually move the radix point 3 steps to the left. Since Bitcoin is hyperdeflating, it makes sense to do the opposite.

I think this will greatly improve BTC acceptance. Like it is today, it's just silly to go buy a coffee for 0.0015 BTC. It's not how most people are used to buy things.

In order for this to be effective, it's not enough to do this just in speech, wallets and prices at stores should display the new unit system. I'm not sure how difficult it would be to change this at the software level though.