Royal Caribbean - UK & ROI Segmentation

Case Study

Project Background

Royal Caribbean International is a cruise company with a diverse customer base with varying requirements when it comes to their vacation preferences. The company required a method to accurately segment their current customer database based on guest historical data, to identify segment sizes and define their characteristics. The aim was to reveal and define existing customer segments with the goal of creating a marketing campaign targeting these customer groups. The challenge was to identify distinguishing characteristics among potential segments and use these to develop a method to accurately predict what segment each of their customers belonged to.


iReach carried out a suite of statistical analyses on a sample dataset provided by Royal Caribbean and identified three distinct customer segments. Through a modelling process which revealed relationships between customer types and Royal Caribbean guest data, a Customer Profile Model was developed to accurately classify customers to each segment. The classification tool developed allowed Royal Caribbean to successfully segment their database with high accuracy and identify the size of each segment.


As specific characteristics of each segment were revealed, a profile of each customer segment was developed, and this allowed Royal Caribbean to produce a targeted marketing campaign aimed at each customer type separately.