We haven't been convincing in the group stage of the CL since the 96-97 season. In the 97-98 season, we finished as one of the best runners up and barely sneaked into the Quarters. In 98-99, we advanced on goal difference. In 2000-2001, we finished bottom of a group containing illustrious names such as Hamburg, Panathinaikos, and Deportivo. In 2001-2002, we advanced to the 2nd group stage only to finish bottom (again) in a group containing Arsenal, Deportivo, and Leverkusen. In 2002-2003, we struggled to get out of a 2nd stage group containing United, Deportivo (thank you Tudor), and Basel, qualifying only because of our head to head record against Depor and Basel, only to end up reaching the final that same season.
During the Capello era we had an awesome team, did well in the group stages, but never got beyond the Quarters (*cough* Liverpool and Arsenal *cough*). To be fair though, in both those seasons, Liverpool and Arsenal ended up reaching the final, with Liverpool actually winning the trophy

I forgot to mention that we were incredibly fortunate against Werder in 05-06.
During the Ranieri era, we did well in the group phase, only to end up losing to Chelsea in the 1st knockout round. In the following season, we were embarrassed 1-4 at home to Bayern, unceremoniously dumped out in the first round, in a season in which Inter won the title against the same Bayern team that dismantled us at home
Our performance last year was our best in a long while. Let's wait and see what happens this season
