Security forces will far outnumber visitors at Tuesday's Anzac dawn service in Gallipoli, with more than 2000 officials guarding possibly fewer than 500 tourists.
The dramatic fall in numbers compares to the crowd of more than 10,000 at Gallipoli two years ago to mark the centenary of Allied troops landing at Anzac Cove.
It also follows recent terrorists attacks in Istanbul and terror warnings from the Australian government earlier this month.
"We obviously had a peak two years ago for the centenary but that's combined with security issues in Turkey raised by the government," said Mat McLachlan a Sydney-based tour guide.
Mr McLachlan added visitors who had already booked did not cancel following the government's travel warning in April and that interest in other military tours including to France hadn't dropped off.
"I think people know what they are getting themselves into in terms of a slightly increased risk," he said.
Veterans' Affairs Minister Dan Tehan confirmed the drop, saying in a statement "crowd numbers were expected to fall from the highs of the 2015 centenary commemorations".
Ten thousand Australians travelled to the neighbouring city of Canakkale in 2015 for the centenary commemoration at Anzac Cove but in the intervening two years, terrorism has repeatedly marred the popular travel destination.
"Tourism numbers are significantly down across the board and Gallipoli is not immune to that," said Mr McLachlan. "This will further devastate local businesses including one hotel we know which has seen a 90 per cent drop in bookings."
On Monday, Booking.com said Canakkale's hotels were booked to 39 per cent capacity, with significant discounts on hotel rooms.
The government released a warning earlier this month, saying it had received information that terrorists may be planning a specific attack on the Australian service.
"Putting out such a vague threat and telling people to exercise a high degree of caution isn't particularly good avice without specific instructions and without the travel warning officially changing," Mr McLachlan said.
Turkish politician Favza Kavakci Kan also questioned the Australian terror warnings.
"This is something brought from the Australian Government and they don't have any specifics. Any kind of intelligence information is processed by the related institutions that have the authority so there is nothing to worry about," she told the ABC.
Government officials have said they will proceed with a dawn service every year no matter what the terror threat.
The Department of Foreign Affairs and Trade maintains a 'yellow' warning for Australians wishing to travel to Turkey, and advises tourists to Istanbul and Ankara to 'reconsider your need to travel.'
At the beginning of this year a gunman shot dead at least 39 people and injured 69 others during a rampage at the packed Reina nightclub in Istanbul.
In December, A suicide car bombing killed 13 soldiers and injuring 55 others, in Kayseri in central Turkey.
And last June, Three suicide attackers killed 45 people and injured more than 230 others during an attack at Atat??rk Airport in Istanbul.
