I'll start this discussion by saying I've been successful when moving iis7 -> iis7.
I tried to create a package on the source server. Seems like it should be pretty straightforward...
msdeploy -verb:sync -source:metakey=lm/w3svc/29963 -dest:package=c:\site.zip Info: Adding package (package). Info: Adding child metaKey (/lm/w3svc/29963). Warning: Skipping source metaKey (/lm/w3svc/29963/ROOT) because of rule SkipInvalidSource. '?', hexadecimal value 0xFFFF, is an invalid character. Line 1, position 502.
The package is created but only contains archive.xml and systemInfo.xml, but none of the site files.
I'm not sure what this error means, I've poked around with the MetabaseExplorer but don't see anything with ? in it.
Anyone have any ideas where to look for more info about this error?