The Maps app was so much better than printing MapQuest maps or trying to use the flip phone version of MapQuest.
Being able to access the real internet from anywhere was futuristic.
You could use iMessage without paying $0.10 per text?!?! Can you even imagine paying $0.10 per text (and $0.25 for every text after the first 100 per month?)
Visual voice mail was also a game changer at the time.
And you got an ipod along with all that. (The iphone was my first "big" ipod device)