A check by The Star since 10am showed "visibly less crowd" in the normally bustling area and getting a parking space was a breeze.
Many restaurants were empty and convenience shops recorded low sales after tourists kept away from the area in fear of disturbances.
Mohd Ali, of non-governmental organisation Gerakan Merah 1Malaysia, had threatened to hold the protest at an entertainment enclave following an incident in which three Immigration Department enforcement officers were assaulted on Sept 30.
In the incident, some 40 thugs manhandled officers during the raid. Mohd Ali later called off the protest.
Sidique Ismail, 25, an assistant at a convenience store, said his shop was always full with tourists, especially Singaporeans and those from Kuala Lumpur.
"But sadly only two customers walked in since morning," he said.
Heng Chicken Rice shop owner Tan Yin Heng said the usual outstation crowd were absent.
“Our business was badly affected without the tourists,” he said.
Businessman Alex Lim, 52, said it was really a letdown for business community.
"The streets were empty as many kept away from Taman Melaka Raya with the fear of a rally.
“Our businesses are dependent on tourists and now one were out today just because of this threat,” he said.
Malacca police chief Deputy Comm Datuk Wira Chuah Ghee Lye said no report of the rally was received.
“Taman Melaka Raya was quiet and peaceful but we are still keeping vigil until night,” he said.