Councillor Karen Hunt, who leads the council's inner city revitalisation strategy, said the report's findings belied the positive public response to the trial.
"The perception is that there has been a huge improvement.
"That's the most important message," she said.
In a 2015 National Research Bureau survey, public approval of Rotorua's parking facilities was at a 15-year high at 85 per cent, up from pre-trial levels of 68 per cent. But it appears this positivity hasn't translated to more demand, despite the temptation of free parking.
Mrs Hunt said she stood by the 2013 decision to approve the trial, despite it going against the recommendations of a report from transport consultants MRCagney commissioned at the time.
"It comes down to the community's desire to see something different happen," she said, adding the trial had provided valuable data.
Hairdressers, restaurants and cinemas are likely to play a major role in upcoming consultation: they were identified in the council report as having concerns over the fixed 60 or 90 minute limits.
Two salon owners the Rotorua Daily Post spoke to yesterday had differing views on the trial. Beverley Wheeler, owner of The Salon on Hinemoa St, thought the scheme was inconvenient.
"The amount of times we've had to send out customers with foils in their hair to move their car ... "
But Salon St Bruno owner Hilda Dufty (who employs Sarita Vanderberg) struck a more positive tone. "When it came in, our customers loved it."
Ms Dufty said she was confident the trial was a step in the right direction, and welcomed more consultation.
CBD Free Parking Trial Report - Key findings
•Drop in demand for parks on Tutanekai, Eruera, and Hinemoa streets
•Slight increase in demand on Pukuatua St
•About $700k in lost on-street parking revenue
•No increase in pedestrian numbers