John Lennon's lyrics were his first overt reference to LSD in a Beatles song. The song can be seen as Lennon teasing Paul McCartney about not taking acid.
In 2004, Paul McCartney did an interview with the Daily Mirror newspaper where he explained that drugs influenced many of The Beatles' songs. He singled this one out as being about acid (LSD), but also said that people often overestimate the influence of drugs on their music.
The Beatles had some fun with the line, "She's a big teaser," which they jokingly worked up as "she's a prick teaser." In context with the next line, "She took me half the way there," it's pretty clear what's going on. The group managed to slip in subtle sexual innuendo in a few of their songs, including "I'm Down" and "Please Please Me."
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