I don't know about you but i found the upgrade harder (time consuming) than the original install. I watched the utube video but to no avail. I got Web.config errors that I manually tried to configure. Simple solution.

NOP for DUMMIES like me.

1) Install from Microsoft IIS 7.0/6.0 "Web Platform Installer" but go to the real site nopcommerce.com to get the virgin clean download.

2) Automatically you will go to website/your store/install/install.aspx
If you screw that up go to directory "INSTALL" then type install.aspx in your web browser. ( you must type this on Internet explorer using a remote non SERVER comp). Most of you guys FTP to shared hosting so no problem. But if you are directly on your own server .... go to another computer outside your local ip.

3) Create new Database (Permissions only your store folder with "NETWORK SERVICES" don't check FULL control but all others ok EDIT/read write). make sure this is on your sub directory /"store" and not your Root directory C\websites.
You can create a blank database using sql express man but you wont have sample orders/products.

4) new database is created  

5) Break your connection to SQL by logging out of SQL Server management Studio 2008.

6) Create new Database make sure SQL server name = the exact NAME on SQL Server management studio!!!! don't forget to add \COMPUTER\SQLEXPRESS of you will never connect to sql to make that database.
If you need help microsoft automatically creates this path when you install this needed download.

www.microsoft.com/express/sql/download/


7) When finished with install go backwards and choose upgrade from previous version. STOP

8) Download new version then FTP or transfer to your store directory only after you wiped out the old version of nop but leave the database alone.

9) You should have a blank Directory called MY STORE or whatever you want to name your directory. Then just copy your new files to the directory.

10) go back to webpage and Finish Upgrade and your good.

Hope this help somebody.