People are often so eager to jump into chess and have heard over and over again that the best way to improve their game is to practice as much as possible. While this is true another method that is often overlooked is to watch others play chess. You can watch other people in online chess games, at chess clubs, tournaments, etc. Observing others games will allow you to see situations that have baffled you in the past and how others react to these situations on the board. This will often provide unique insights since many different people respond differently to any given situation. While there may be accepted standards in the chess community of how to respond to a particular tactic, not everyone will respond with that accepted standard.
Watching those who are rated higher than you, or those who are simply more experienced at chess will provide you with valuable insights. If you watch a game and say "Oh, that is how you get out of that trap" then you have already learned a valuable piece of knowledge that your future opponent's may not posses.
Do not limit yourself to simply watching those who you feel are better players either. Watch the games of lower rated, or less experienced players. By watching these games you will see common mistakes that new chess players make. Experienced chess players often lose concentration and make the same mistakes that the less experienced players make. Watching these games will also help prevent you from committing these simple mistakes.
Continue to practice on a regular basis, but also watch and learn from others. Learning through the experience of playing is great and watching others play is simply another tool that you can use to improve your chess skills.