Analytics can absolutely be useful for your personal blog / website. Imagine you're an academic on the postdoctoral fellow / tenure track job market and you want to both numbers and see locations of where your hits are coming from, google analytics can help. For universities the ISP entry is often "X university" which makes things even clear than the broad Geo category of which city the hit comes from. This can be very informative in terms of what leads are likely to come up.
What is the created value from that data extraction, though? That you know that the uni you applied to looked at your website? That's nice, but again, simply a way to reinforce your ego as far as I see — you get insurance that you're important enough to get through the first filter. But what actionable data does this interaction give you?
The academic job market can be unforgiving, and for those who also have industry leads/offers it can be helpful to know whether there may be future offers from academic institutions when deciding whether to commit elsewhere. Even without industry offers, it isn't like all academic job offers come in at the same time and you may be second pick at your preferred institution so it could take some time for a possible offer to come through. If you're still getting website hits from a place it's a fair bet you're still under consideration and you maybe don't want to commit elsewhere.
It's not really about an ego boost, and in any case, egos can take a pretty major bruising during the very anxious weeks.
> For universities the ISP entry is often "X university"
Actually Google killed that report earlier this year. It's kind of a big deal, a lot of companies were using ISP dimension to distinguish external vs employee traffic.