I agree that analytics, no matter how well collected and detailed, will never 
be a replacement for user observation. This system sounds like a great 
augmentation to usability testing, but the nature of people as fuzzy, mutable, 
and often unpredictable creatures makes direct observation the ideal (and often 
only) way to really understand what's going on in their heads. Analytics can 
tell a lot about what a person does, but not what he thinks. And people often 
think differently than their actions suggest - sometimes radically so. The 
problem with analytic data is it can lie about the user's intentions and 
perceptions and it's often impossible to tease apart intended and unintended 
behaviour. (I have similarly-grounded issues with eye-tracking technology.)

I'm a designer; I don't conduct usability tests but I rely on them - as well as 
other types of data - to inform design, and I can't imagine abandoning user 
observation, even a little bit. Actually, I'd be somewhat skeptical of relying 
solely on this type of system for incremental design. (I'm also wondering if 
they used this on their own site.)

Offematica does sound really interesting, though.

Cheers,
Sylvania

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