The Scotland 7s team entered day two of the Wellignton Sevens full of optimism following an unbeaten record on day one of the competition.
Their first outing of the day, against Australia in the Cup quarter-finals, saw the Scots suffer a heavy 31-7 defeat.
They then progressed to the Plate semi-finals where they faced fellow home nation Wales who are particularly strong in the seven-a-side field.
Scotland scored a converted try Mike Adamson and Ali Warnock added another five points, however, the Welshmen seemed to control proceedings as they defeated Scotland 24-12.
After the final game against Wales, Scotland 7s coach Stephen Gemmell said: "It's hugely disappointing for day two.
"There wasn't enough accuracy in our execution, especially in contact.
"We'll just have to take the positives from day one and move forward to San Diego where we've got a very tough group [which includes Series leaders New Zealand, Wales and France]."
Scotland 7s squad, sponsored by Murray, for the IRB World Series 7s tournaments in Wellington ( February 1 and 2) and San Diego (February 9 and 10): Scott Forrest (Ayr)* captain, Richie Vernon (Glasgow Warriors), Scott Newlands (Edinburgh), Chris Fusaro (Heriot's)**, Neil Rodger (Haddington)**, Colin Shaw (Glasgow Warriors), Jamie Hunter (Glasgow Hawks)*, Greig Laidlaw (Edinburgh), Mike Adamson (Glasgow Warriors), James Thompson (Heriotâ€™s)*, Ali Warnock (Edinburgh), Andrew Dymock (Dundee HSFP)**
* = Member of Scottish Rugby's National Senior Academy
** = Member of Scottish Rugby's National Junior Academy and supported by Area Institute of Sport