By the time the non-conference is over, ISU will have played Power 5 teams Colorado, VaTech, and Illinois, (plus UNI) on neutral courts, fringe top-25 teams Cincinnati and Texas A&M away, Iowa at home, and some decent-ish mid-majors in Chattanooga and Buffalo. Their non-conference SOS should not negatively affect their seed come tourney time. Plus, they will get a lot of credit for playing a double round-robin in what looks to be a very strong (at least at the top) Big 12. Their whole issue will be playing up to expectations and not dropping some to lower-level teams like they've done in the past.
That said, it's true that they haven't been severely tested yet (though those neutral court games against Colorado and Illinois were a different sort of challenge). Iowa is more battle-hardened and that could be an advantage for the Hawks this game.