This study intends to apply particle swarm optimization algorithm to cluster analysis for investigating market segmentation of Taiwanese tourists based on their motivation to visit Indonesia. In addition, Taiwanese tourists’ preference of several types of tourism destinations offered in Indonesia will also be studied. According to the cluster analysis results, we will propose marketing strategy based on market segmentation and tourists’ preferences revealed. The computational results reveal that there were four clusters formed. Moreover, by using perceptual map, it was also known that most of respondents tend to visit heritage, culture, and nature-based tourism destinations offered in Indonesia