I have tried web deploy parameterization using web application project(.NET 4.5.1) and it was successful. I have followed the steps mentioned in http://msdn.microsoft.com/en-us/library/ff398068.aspx
But this method is not working for website project.!!! Is this method is not applicable for website project?
"Web.config" parameterisation is not possible in "website project" type in Visual Studio. See the Thread I posted in asp.net forum and the answer. http://forums.asp.net/t/1998657.aspx?Web+deploy+parameterization+in+website+project
Please vote for the suggestion http://visualstudio.uservoice.com/forums/121579-visual-studio/suggestions/6210039-web-deploy-parameterization-in-website-project