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May saw an artificial intelligence-fueled upfront season, proving the technology is still very much a priority for the industry. Despite the emphasis marketers are putting on AI, only 15.3% of marketing budgets go towards the technology, on average. May’s most interesting data points for marketers, such as Kraft Heinz’s reworked marketing strategy and Netflix’s advertising push, paint a picture of the deeper struggles facing CMOs. 

Netflix plans to bring the total number of countries where its ad-supported tier is available to 27 in the coming year. The streamer’s initial 12-country roster will grow to include Austria, Belgium, Colombia, Denmark and more, according to its May 13 upfront presentation. 

The company claims to have 250 million monthly active viewers globally and that over 60% of new signups are for its ad-supported tier. In addition to the expanded slate of countries included in its advertising business, Netflix also announced plans to increase ad inventory across vertical video and podcasts, along with a host of new tools and features for its Ads Suite at the presentation. 

In Q1, the streamer grew overall revenue 16% year over year and reported it expects to double its advertising revenue to reach $3 billion in 2026. Ahead of Q2, Netflix announced new ad-targeting capabilities available through demand-side platform partners Amazon and Yahoo and introduced a Conversion API tool. 

Kraft Heinz’s reworked marketing playbook has generated steady improvements in performance. The CPG powerhouse increased marketing investments by 37% YoY for the three-month period ended March 28, with full-year marketing spend expected to be at least 5.5% of company revenue.

The increase in marketing investment comes as Kraft Heinz put a hold on splitting its grocery and condiment business into separate entities in February. As part of the turnaround, the Lunchables maker set aside $600 million to invest in a variety of efforts, including product improvement, marketing, sales and more. One area the CPG giant is focusing on is the growing consumer emphasis on health and wellness. In March, the marketer launched PowerMac, a version of its Kraft Mac & Cheese product with more protein and fiber. 

In the same month, Kraft Heinz entered into a five-year agreement with the NFL to become the league’s first global condiment partner. The partnership, which focuses on brands that are common parts of the consumer game day experience, is meant to help the company improve its Away From Home business.  

More than half (56%) of CMOs say they do not have the budget they need to implement their organization’s 2026 marketing strategy and 54% say they don’t have the necessary resources, according to Gartner data. The growing demand to do more with less is prompting marketers to potentially turn to AI as a solution. 

While AI remains a key strategic goal for 70% of marketers, just 30% feel they have the necessary infrastructure to implement it properly. Marketing budgets have remained nearly flat, making up an average of 7.8% of company revenue in 2026 compared to 7.7% in 2025. Notably, organizations with a higher degree of AI optimization have a higher revenue percentage allocated to marketing, 8.9%, compared to the industry average.

The advertising industry’s biggest publishers continue to build out their AI-powered tools. Companies such as Amazon, Fox and Warner Bros. Discovery all announced improved or new AI solutions for marketers at the upfronts. The investments come as over one-third of marketers are looking at how AI can be used to improve workflow and operations, while four in 10 industry professionals plan to test AI creative this year, per iSpot data shared with Marketing Dive.