AbstractVisual Assessment of cluster Tendency (VAT) is a popular method that visually represents the possible clusters found in a dataset as dark blocks along the diagonal of a reordered dissimilarity image (RDI). Although many variants of the VAT algorithm have been proposed to improve the visualisation quality on different types of datasets, they still suffer from the challenge of extracting clusters with varied densities. In this paper, we focus on overcoming this drawback of VAT algorithms by incorporating kernel methods and also propose a novel adaptive cluster extraction strategy, named CER, to effectively identify the local clusters from the RDI. We examine their effects on an improved VAT method (iVAT) and systematically evaluate the clustering performance on 18 synthetic and real-world datasets. The experimental results reveal that the recently proposed data-dependent dissimilarity measure, namely the Isolation kernel, helps to significantly improve the RDI image for easy cluster identification. Furthermore, the proposed cluster extraction method, CER, outperforms other existing methods on most of the datasets in terms of a series of dissimilarity measures.