You need to set the TargetType of your ControlTemplate. And in order to make your ItemTemplate work, you'd also need to bind the Content
and ContentTemplate
properties.
<ListView.ItemContainerStyle>
<Style TargetType="ListViewItem">
<Setter Property="Template">
<Setter.Value>
<ControlTemplate TargetType="ListViewItem">
<Grid>
....
<ContentPresenter
Content="{TemplateBinding Content}"
ContentTemplate="{TemplateBinding ContentTemplate}"
... />
</Grid>
</ControlTemplate>
</Setter.Value>
</Setter>
</Style>
</ListView.ItemContainerStyle>