The influence of store atmosphere and promotions on purchase decisions through perceived value in the fashion category at Ramayana department store in Jakarta

The retail industry in Indonesia has shown rapid growth, particularly within the fashion retail sector. This development is marked by the rising and evolving consumer demand for fashion products. Ramayana Department Store, as a key player in the fashion retail market, is currently facing intense competition from various companies offering similar goods. Despite its strong presence, Ramayana has experienced a notable decline in sales and has not yet regained its previous performance level. This study seeks to examine the influence of store atmosphere and sales promotion on consumers' purchase decisions in the fashion category at Ramayana Department Store Jakarta, with perceived value as a mediating variable. A quantitative, explanatory research design was employed, utilizing a questionnaire distributed to 97 respondents selected through purposive non-probability sampling. Data analysis was conducted using Structural Equation Modeling-Partial Least Squares (SEM-PLS) via SmartPLS 4.0. The analysis involved outer and inner model testing to assess construct validity and the relationships among variables. The findings reveal that both store atmosphere and sales promotion significantly and directly influence perceived value and purchase decisions. Additionally, these variables also exert an indirect effect on purchase decisions through perceived value, which serves as a partial mediator. The study suggests areas for improvement at Ramayana, including optimizing store layout and product presentation, strengthening promotional efforts, enhancing value for money, aligning product quality with consumer expectations, adapting to current fashion trends, and expanding online sales channels to improve accessibility.