Yes don’t do any silly hidden text tricks, and I wouldn’t bother with the content before the menu thing either.
The SEO in Practice book mentioned above looks ok, albeit a thinly veiled sales pitch for their SEO Tools. (Check out the way they explain to do things, they show you the "hard way" and then the "easy way" with their automated tools. I am kind of distrustful of that type of marketing.)
Being an SEO myself, this is what I would recommend to someone looking to build
search engine friendly sites:
Book/Guide: Download the FREE and very good SEO Fast Start, by Dan Theis, a respected figure in the SEO/PPC world-
http://www.seofaststart.com/download
Use it, step by step, to optimize a couple of sites yourself to gain some working knowledge at least of on-page optimization, use of title, meta description, h tags, and understand what anchor text is and how to use it with your targeted keywords.
Blogs to read:
http://www.seobook.com/blog
http://www.seomoz.org/blog
Grab SEOmoz’s free guides:
http://www.seomoz.org/article/search-ranking-factors
http://www.seomoz.org/article/beginners-guide-to-search-engine-optimization
Just going through and understanding all this information will put you in a good position to move forward on SEO, understand the importance of linking and keyword optimization, etc. etc.
I also agree with something someone else said above - that SEO, at least it its traditional sense, is only one part of a larger marketing/design/development process, but, as far as the way that search engines rank pages and sites today, it is a pretty important part.