The Internet-of-Things (IoT) has been used with greater frequency to track peoples’ daily activities, particularly those conducted indoors. Wi-Fi technology has been also been used as an alternative to global navigation satellite system (GNSS) technologies to track indoor activities. The received signal strength indicator (RSSI) is widely used to assist in the positioning of Wi-Fi signals. However, the RSSI-based technique suffers from multipath, non-line-of-sight (NLOS) problems and the fluctuation of RSSI measurements via Wi-Fi chipsets. One of the most well-known RSSI-based approaches is to apply the fingerprinting method to do the positioning. However, the fingerprinting-based form has an additional problem due to the lack of RSSI data samples, specifically in harsh area with a huge number of classes or reference points (RPs) and an unstable matching process algorithm. To mitigate the problems of the RSSI-based fingerprinting approach, this research proposes a novel matching process algorithm called Norm_MSATE_LSTM. We first performed the augmentation process to increase the RSSI data records via the Mean Stander deviation Augmentation TEchnique (MSATE). The RSSI records were normalized (norm), and the long short-term memory (LSTM) technique was applied to estimate the correct positions. Finally, the proposed matching algorithm was compared with the stand-alone matching algorithms, including the weighted k-nearest neighbors (WkNN) and LSTM. The results obtained from the experiments and the simulated experiments using OMNeT++ show that the proposed matching algorithm may improve positioning accuracy by 33.1% and 57.5% when only augmentation and augmentation with normalization are applied, respectively.