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Hi Ted, my opinion is, that if you want to keep your app to a small size you should use text element.Also this method will let you make changes for the text more easily. But if you want to interact with the text elements by doing more complex action sets I think you should import the text as png's (because png's are smaller then jpeg).

Agreed. I shall have to consider which effects to use in the app. Is it correct that the effects are more limited for text elements?

I wouldn't say that, I didn't find any problems with adding action sets to text elements.

A few of the behaviors are specific to graphic elements, like the ones in the Graphic Behaviors category and certain movements and animations, but if you don't plan to use a lot of visual effects on the text, then text elements should be fine.

Also since some programs have more specific options for styling the text, like changing the amount of space between lines or between letters, you might take this into consideration when deciding between using text elements or graphic elements for your text.

couldn't you use text element to make it easy to adjust text and put an invisible box over the desired word to trigger the behavior?

Using text elements does provide some advantages in terms of app size, and also as Ann pointed out the ability to easily edit the text within the InteractBuilder.  There are certainly different pros and cons, but in general unless you have some special effects that you need to invoke on the element, you may want to use text elements.  We will also be supporting the ability to do text highlighting (currently unsupported in version 4.0 but will be arriving soon).

Thanks, Ezra - I will probably end up using a combination of each - have been doing mockups all weekend.