I must be totally backwards. Back in my early Java days, I actually organized packages by feature. After reading Eric Evans book on DDD I changed my style to by layer, which I find a lot better.
My problems with the by feature way of doing things normally involved granularity of features - is the thing we are building a new feature with its own package or should it a part of another package. Also, as others have mentioned, some things are cross cutting meaning that you either create the dreaded 'common' package, or just chuck it into the package you feel it belongs to the most.
