"What is more important a good looking web site or a functional website?"

Optimally trying to strike a balance between artistic taste and functionality would be the best for your new site. While searching the web you will come across beautifully designed sites that lack functionality. Others may work great but are not captivating or inviting to new visitors. Most people when visiting a web site really want to find out information or a product they are looking for. Studies show that more than 85% of online users are looking for services and information. So when creating a new website it is important to find a comfortable compromise between a good looking site and a site that does what it is meant to do, get new business.
Your first concern is to increase your revenue and bring in new customers to your site. If your website looks great but fails to met these goals, than your site is not as functional as it should be. It doesn’t matter how well a site is designed if it does not appeal to visitors, it will not turn into sales. People want a user friendly site with easy navigation and pertinent content.
All this being said people still are attracted to pretty things and consumers will be attracted to unique and beautiful sites. It is a proven fact that people are stimulated, excited, and even depressed when exposed to certain colors. Make your site warm and inviting, easy to navigate and a wealth of information and you will keep customers coming back.