I've noticed this too this year - particularly with the docks. Although it is June which is traditionally slower than July and August and the weather hasn't been great this month.
The other thing is there are a lot more businesses now than there were 10 years ago so even if you have the same # of people, it will seem less crowded.
However, there is something to be said for high fuel costs limiting people's travel plans or how much they will use their boats. Plus there is essentially a huge cover charge just to get on the Island - hotel rates are high, ferry tickets have gone up, etc. Then you get there and costs are inflated. In a poor economy, that's going to result in a downturn in business.
I'm surprised no one has attempted to lower prices in an effort to increase volume, especially during the week.