Advanced tracking options gives you real-time statistics about each campaign: You can see exactly who opened the e-mail you sent, which link(s) they clicked, who edited their profile, who unsubscribed, why people in your list unsubscribed and much more.

By including a 1 x 1 pixel blank image that is being requested from our server. The image is not displayed but is being registered with unique parameters.

Yes and no. If you send e-mails only in the Plain Text format, you can not include images to track opening of e-mails. But if you choose to track clicking of links in the e-mails, you will also update your database with information about opening of emails when the trackable links are clicked by the subscribers.