Personally, I don't think most modern digicams need cases - they're sold as things you can just slip into your pocket or a handbag after all - but some people (usually with iPods) seem to like cases for everything and I suspect they may like your product.
From a technical point of view, I have reservations about your cases, putting aside, for the moment, my reservations about any case which effectively makes my camera bigger when I'm using it (for this reason I never liked ever-ready cases for film SLRs either).
Like a lot of serious photographers, I tend to hold my camera with two hands and I think the cover on your case would make this difficult.
Also, I think I'd worry about the flash being concentrated in the middle of the picture by the case - I may be wrong, but you may be effectively making what's known as a 'snoot' for the camera's flash when you surround it in thick leather.
This all sounds a bit pessimistic but I think you're right that we need to inject some kind of organic feel back into casual photography: ever since the APS Canon IXUS/Elph came out a decade ago, too many digicams have looked like small, silver rectangles...
That said, there are, however, lots of more interesting-looking digicams out there - and perhaps the market you're primarily aiming at would have already chosen one of these more interesting cameras already? Presumably, the same people will also be early adopters of this lovely wooden camera if it ever makes it to production:
http://tinyurl.com/roxvt
Custom leather camera case
Linear Mode
