You think the 7 iron is bad, try hitting the 8 iron. ;)
I believe the shortness in expected performance is in conjunction with amount of backspin applied. I know when hitting my 8 iron, and sometimes my 7, I don't apply full backspin, but partial or none at all. I tend to max out at half to 2/3's on the backspin. This can be somewhat counter productive in tail winds, but has been effective for the most part.
Where you using full BS in those situations? Perhaps others with more empirical analysis can chime in. I also think there's a past thread or 2 referencing this behavior in both the Master G10 8 iron and Rapture 7 iron.