In tough conditions, the AIS squad of three sliders struggled to match the speed of their northern hemisphere rivals, finishing 14th, 15th and 17th in the field of 22 sliders, from 12 nations.
Great Britain's Shelley Rudman won her first event of the season and has closed the gap on World Cup leader, Anja Huber, from Germany. Huber finished second, with Canadian Amy Gough in third place.
With temperatures around the -3 degree mark, conditions were perfect for the early morning first run, but snow made conditions more difficult for run two, slowing the times of all competitors.
AIS Scholarship holder Lucy Chaffer finished fourth on the Winterberg track in a round of the Inter-Continental Championship last year and was hoping for a solid improvement on her early season World Cup form.
She was the best placed of the Australians, in 14th place, and is now 17th in the World Cup standings.
"Overall I was happy with my consistency on both pushes and runs," Chaffer said.
"I made a few mistakes that bled a lot of speed and as a result, time. Hopefully I can build on this in St Moritz next weekend."
Times on the German track are heavily influenced by a slider's start time and the athlete's ability to enter curve one cleanly, but this is the major portion of the track that is uncovered and most affected with snow.
All three Australians had been training strongly with mistakes being reduced or removed with each run, while they continue to test equipment and sled set-ups with the focus on this year's World Championships in Konigssee next month.
But after five top 10 finishes in the five World Cup events held so far this season, Germany was an event to forget for Emma Lincoln-Smith.
"There's not much to say about the race," the disappointed AIS Scholarship holder said after her two runs.
"It was just a really bad performance on my part. For some reason I have never performed well here."
On just her second World Cup event this season, Queenslander Michelle Steele is still building momentum and form after a delayed start to her season.
"In just my second race back I was disappointed with the day, but am looking forward to St Moritz next week," Steele said.