I am completely cool with someone analyzing their own logs if I visit their site. What I'm not cool with, is them finding out what _other_ sites I visit.
I regard the current focus on analytics as unduly obsessive. How much do you need to know about your customer to flog your products? Just because you can measure something, it doesn't mean that it's going to do anyone any good to measure it.
I used to do direct mail; all we ever did was what today is known as A/B testing - we'd send "test drops" to different lists, with different prices, different wording in the offer letters and so on. It worked really well.