Something phone size that takes true hi-res pictures? what's not to like?
Here's my phone and my Canon S120
This is a random shot from the S120 (I admit it's dull on a dull day but it's a classic "snap").
It's handheld on a dull day and here's a crop. It's almost printable as a 6x4" snap (My mum has worse in her album that weren't cropped in this extreme way)
That's 12MP and it's why the mega-pixel war is dying out. The optics required to resolve beyond 12MP are the limiting factor, it's no good just putting 50MP behind tiny "smartphone" glass.
I'm not a Canon employee but this is what the L16 is up against. £250 buys you some serious quality nowadays (The S120 was a £500 pocket camera 3 years ago. I expect it will be £150 within 2 years).
Once you get into £1000 price bracket then it needs to do significantly more than just compete with superb "normal" cameras that are a quarter of the price (and smaller).
The L16 will be viable when it's simply part of a feature set of an iPhone 8 (or whatever version) but they are taking on perfectly adequate cameras at a ridiculous price point.