Meaningful Metrics: Collect What Counts
Bad web metrics drive me nuts. Not only that people who say that they can't measure traffic from a banner ad or search engine, make me roll my eyes. On the other side of the coin I hate web metrics software that dumps tons of useless data in front of the user. It can be overwhelming and many folks are left with a “yeah so?” feeling. My current host Borealis uses Urchin. I like it, clear charts, smart navigation. But, I'm used to reading these reports. Most users will only look at a few key reports and move on.
This article from ClickZ covers another important part of metrics, make sure you measure what you need. Which speaks to having a plan. And knowing what success looks like for your site. Which is something I have more than a little experience with. This article is definitely important reading for site owners.