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 Premier League side upped the tempo, while they were rarely tested at the back.
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.
Tony 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 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.
