The main purpose of web analytics is to increase the overlap of user expectation with user experience. That’s where conversion lives.
I’ve found it helpful to break analytics down into three basic levels:
1. Diagnostics – Is this thing on? Is anything broken? Is it doing what we expect it to?
2. Directional – What does this time period look like compared to other time periods?
3. Discovery – What are the drivers? What is behaving differently? Why is it behaving this way?