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More traditional publishers are now using the POD option, which may change the dynamics of the publishing world.
When considering a self-publisher it's an excellent idea to check out their publishing affiliations. This also gives you a list of references who can alert you to any difficulties or recommendations they may have about the company you're considering.
And one more thing... READ the CONTRACT! Understand the contract! If it's shrouded in legalese, either reject it or get a good lawyer--but this alone should be enough to make you wary. Most authors are not practicing lawyers and publishers know that.

I believe the strong point to look for with POD is whether it will be listed through Ingrams Book Company (US) and Bertram's (UK). These are the largest distributors.
A good return policy for unsold books is another. Borders, Barnes and Nobles and Amazon will shy away from carrying books ... even local author support shelfing, if they can't off load unwanted books.
I've got both features and was lucky enough to get shelved from the "short list" at a few stores in Indiana and Maryland. The rest will now be up to me - to get the word out.
Hope more people will comment on their lessons learned with self-publishing.
Regards,

Tod, my book is 531 pages, but I found a way where I can print it and bind it on my own. I tried to split it into two books, but it just didn't work. I hired an artist to do the cover. I spent the most on this, but figured a top notich cover would get attention. I figured I can also sell the POD on my website.
So far Amazon still proves to be the head honcho in online sales. So I'll have it through Amazon Advantage and Kindle.
The problem I have with Ingrams is unless you're doing print advertising amd marketing to the bookstores, then your item is simply listed in the thousands of other books. With no direct marketing, unless people are going in the store asking for them to stock your book, it's going to just sit there. I'm not saying it's a bad thing, especially if you can get people to go and ask for your book and order it through the bookstore. But they aren't likely to order extra copies. Maybe I'm wrong here, this is just what I've found doing my own research.
I know some Barnes & Noble and some Borders will take your book, but you have to stay in close contact with them. I've made friends with a number of employees who have asked to see my book. I know when my CD came out in 2002, it was being sold at a Barnes & Noble and a Borders on consignment. Perhaps working out a return policy directly with them can be a way.
Those are just some of my little tidbits. Once I get out in the trenches, I will probably learn more lessons.

I think you can try this in just one state ...
Wait about a week after delivery of the books to the stores and then make sure that all of them are purchased. There is an internal software system at the major retailers that tracks sales to inventory. When something is carried and quickly sold out it establishes an alert that the chain may be missing out on something. It then asks the general managers to consider carrying the book more.
This seems a little shady, but the concept is to establish buzz that catches the eyes of book retailer purchasers simultaneously across a region. Reaching out to each individual manager takes way too long and has no lasting effect.
If you can talk with managers to let them know about the quality of your work AND have purchases made across a region at the same time, you may have better success.
Of course, this is going to take time, strategy and money. I have not been able to try this because of the time element. If anyone has ever tried this or has other examples, I'd love to hear about them.
Since there were some aspects I couldn't handle financially and time-wise I went with a large self-publishing company. I've been happy with the results and posted comments and blogs about it in various online locations. I'm always happy to answer questions and definitely recommend self-publishing in today's publishing world; although with a very stern caveat about checking the pedigree of any self-publisher very thoroughly.
One more thing I find a lot of people don't yet understand: the publisher (unless it really is you, yourself and your dog) ALWAYS makes more money. This is true of both self-publishing and traditional publishers.