Experts Warn That Brands Are Ignoring the ‘Identity Resolution Gap’ in the Era of AI-Driven Customer Data
Amperity recently contributed to a study examining the Australian marketing landscape, focusing on eCommerce, data, martech, and AI. The findings revealed a notable contradiction: while many brands are investing in data unification and activation, few are achieving meaningful progress. The primary reason for this disconnect is the critical element of identity resolution, which remains largely overlooked. According to the report, “Digital, Marketing and eCommerce in Focus 2025,” developing a unified view of the customer is a top investment priority. Over half of the brands surveyed indicated a focus on unifying data, with nearly as many investing in activation. However, only 14% of brands reported making progress towards a unified customer view, and more than half acknowledged falling behind on first-party data strategies.
The report highlights that identity resolution is the missing link in these efforts. Despite its foundational importance, only 25% of brands identified it as a key investment area. This gap is significant, as unifying customer data is impossible without resolving identity. Identity resolution serves as the connective tissue for personalisation, consent management, and omnichannel activation. It answers essential questions about customer identity, consent, and data location. Additionally, the challenges in retail are exacerbated by new privacy regulations, with only 30% of retail leaders believing their teams understand the upcoming changes to the Privacy Act. Foundational capabilities like consent tracking and data lineage remain underdeveloped, further underscoring the need for identity resolution. The findings also align with Amperity’s global report, which indicates that while many retailers recognise the potential of AI to enhance customer loyalty and lifetime value, only a fraction are currently leveraging AI for customer-facing applications or identity resolution. This oversight not only hampers internal marketing strategies but also erodes trust in broader initiatives like retail media, as brands struggle to measure performance and quantify ROI without effective identity resolution.
Categories: Data Unification, Identity Resolution, Retail Challenges
Tags: eCommerce, Data Unification, Identity Resolution, Personalisation, First-Party Data, Privacy Regulations, AI, Customer Engagement, Retail Media, Consent Management