Good things come in small packages, and that's a good description of a digital pocket camera.
These wonderful little cameras take great pictures and have many of the same bells and whistles as their larger cousins. You really don't sacrifice much in picture quality to get a small camera. These cameras usually have at least 7 megapixels resolution or greater, so you can get a good, clear picture. Most have some sort of image-stabilization system.
Battery life is improved from the earlier models. Many come with rechargeable battery packs so you don't have to buy so many batteries.
The LCD screens are also bigger and easier to see than previous models. You don't have to squint to see what is on the screen any more.
Face recognition, higher ISO and higher shutter speeds, and different picture taking modes... digital pocket cameras have come a long way!
In most cases, the lens retracts into the body of the camera when not in use, making the camera that much more portable. However, some of the smaller digital cameras are actually more pocket friendly than others. There is a wide range of weights and thickness.
Look for a camera that strikes a balance between the size of the camera and the features you want. With so many options available these days, there is one out there that should fit your needs nicely!