Tony Pulis' side drew a rare blank in their pre-season preparations and now turn their attentions to taking on Arsenal in the Premier League on August 16
Tony Pulis' side had scored eight goals in their previous four matches ahead of the new Premier League season, having begun their preparations with a 13-1 thrashing of GAK Graz.
However, Palace failed to find a way past Augsburg goalkeeper Marwin Hitz despite a late flurry of chances for substitute Dwight Gayle.
The forward frequently threatened in the closing stages as the Eagles upped the tempo, while they were rarely tested at the back.
A lacklustre first half saw neither side seize control, with chances at a premium and both keepers rarely tested.
Erik Thommy and Marcel de Jong both got into dangerous positions for the Bundesliga side, only to waste them without stretching Julian Speroni.
Palace were restricted to half-chances for Fraizer Campbell and Jason Puncheon, the latter failing to execute a long-range lob after spotting Hitz off his line.
Pulis introduced Wayne Hennessey for the second half and the substitute goalkeeper was immediately forced into action to deny De Jong and Raul Bobadilla, keeping out the latter with a superb save down to his right.
Gayle, another replacement, came close for the visitors on 69 minutes as he tried his luck from distance only for Hitz to beat the ball away.
A minute later Barry Bannan, Pulis' third change, struck the post with a low free-kick from 20 yards.
Gayle thought he had broken the deadlock in the 74th minute, but he was flagged offside and subsequently saw Hitz make another save as the game ended goalless.
Palace open their Premier League campaign next weekend with a trip across London to face Arsenal at the Emirates Stadium.