IBM and Econsultancy have some new research out suggesting a “massive perception gap” between how well brands think they are marketing to their customers and how well customers actually think brands know them. Businesses think they’re doing a pretty good job. Consumers, not so much.

The study, which surveyed businesses and customers specifically in the United States, found that about 90% of marketers do agree that personalization of marketing campaigns is critical to their success. Even still, 80% of consumers polled don’t think the average brand understands them as individuals. This is despite consumers sharing more personal details with businesses than ever before. Some how, brands are still failing to make the most of it.

In my experience, marketers can be their own worst PR agents. For the most part, they understand what their customers want, but they can't deliver. However, they are constantly spinning what they are doing as to seem as though they are meeting the customers demands. So this survey doesn't surprise me. I'm surprised that 80% of customers don't feel like they are individuals. It's hard to create great customer experiences with this stat.

The IBM/Econsultancy research found that 80% of marketers “strongly” believe they have a holistic view of individual customers and segments across interactions and channels. They also strongly believe in their ability to deliver “superior experiences” offline (75%), online (69%), and on mobile devices (57%). Yet just 47% of marketers say they’re able to deliver relevant communications.

Worse yet, customers don’t think they’re getting personalized experiences. Only 37% said their preferred retailer understands them as an individual. And that’s the preferred one. Only 22% said the average retailer understands them. 21% said communications from their average retailer are “usually relevant”. 35% said communications from their preferred retailers are “usually relevant”.

The biggest disconnect with marketers is in implementation. In the survey they state they believe they can deliver "superior experiences", yet just 47% say they are "able". So marketers believe they have the strategy to be great in the area of customer experience, the technology or knowhow to deliver these great strategies is lacking. A lot of that comes down to the relationship with the CIO. As I wrote in Across The Board, CMOs Struggling To Deliver An Integrated Customer Experience, until the CIO and CMO speak the same language and the CMO embraces technology, this will continue to be an issue for marketers in the future. When only 37% of customers believe their preferred retailer knows them at all, there is an issue.

“One explanation for relevancy void may be a lack of innovation for the multi-channel lives we all lead,” IBM said. “According to the study, only 34 percent of marketers said they do a good job of linking their online and offline customer experiences. With the vast majority of dollars spent offline and the majority of product research happening on the Internet, the two are already linked for consumers but this gulf must close for marketers if they are to advance. One issue is the technology of integration, with only 37 percent of marketers saying they have the tools to deliver exceptional customer experiences.”

The technology exists today, marketers just have to embrace it. The technology is nascent, so it is harder to implement, but this can be done today with hard work. The results will be well worth the effort.

“The customer is in control but this is not the threat many marketers perceive it to be. It’s an opportunity to engage and serve the customer’s needs like never before,” said Deepak Advani, GM at IBM Commerce. “By increasing investments in marketing innovations, teams can examine consumers at unimaginable depths including specific behavior patterns from one channel to the next. With this level of insight brands can become of customer’s trusted partner rather than an unwanted intrusion.”

Advani is correct in labeling this an opportunity. For the marketers who dare to embrace the new realities of digital marketing, they will reap the benefits that come from delivering targeted content creating exceptional customer experiences. For the marketers that don't embrace this sea-change, their companies will become less relevant in the digital age.