Paul John's side bowed at the Bowl semi-final stage in the Wellington Sevens.
Wales bowed out of a disappointing Herts Sevens tournament in New Zealand when Kenya dumped them out of the Bowl at the semi-final stage.
Paul John's men picked up five points from the tournament to slip down the overall rankings one place to eighth while New Zealand top the table on 73 points after beating closest rivals Fiji 24-7 to retain their Wellington title and take an outright lead in the HSBC Sevens World Series after four of nine rounds.
Having been knocked out of the main draw on day one, Wales were hopeful of a successful Bowl campaign on day two.
Wales edged a tense quarter final against United States with tries by Matthew Pewtner and Kristian Phillips securing passage to the semi finals with a 10-0 victory.
But Kenya, who are slowly getting back to the type of form which made them such dangerous opponents a couple of years ago, brushed Wales aside 17-7 in the semi-final to end any hopes of silverware for the men in red.
Kenya scored two tries in the first half through Sidney Ashioya and Leon Adonga with Nato Linus Simiyu adding a conversion to put the Africans firmly in control at 12-0.
Wales battled back in the second half with Pewtner racing over with Alex Walker adding the extras. With Wales slowly but surely getting back into the game, Kenya took the sting out of the comeback with Simiyu knocking over a penalty to guide Kenya to a 17-7 win.
The Kenyans went on to win the Bowl final against Australia to claim their biggest haul of points in the series so far (8) while Wales were left to lick their wounds as they focus on the next leg in Las Vegas next week.
Having taken part in seven World Cups as a player and coach, Liza Burgess hopes to go out in style this afternoon when Wales take on Australia in the Play-off for seventh and eighth place in the Women's Rugby World Cup in Paris.
WRU Head of Rugby Josh Lewsey met with volunteers across the game earlier this week, championing their role in the sport. He was joined by Wales captain Sam Warburton for part of the day as volunteers took part in a 'Try Out' event for the 2015 Rugby World Cup
Wales Women may not have got the results they wanted recently on the field, but off it they have made massive strides in strength and conditioning - and that is in no small part due to S&C coach Sam Dodge.
Two weeks into the new pitch project at Millennium Stadium, Groundman Craig Campbell takes staff on a unique behind-the-scene tour of the works so far and National Squad Assistant Strength and Conditioning Coach John Ashby and Tour Guide Peter Owen describe what the revamp means for them.
Try-scorer Jenny Davies and fellow prop Megan York reveal to WRU TV's Graeme Gillespie their thoughts after Wales broke their drought in the Women's Rugby World Cup with a 35-3 win over South Africa in Paris.
Wales Women are expecting a tough battle against South Africa on Saturday as both teams seek their first pool win of the Rugby Women's World Cup. WRU TV's Graeme Gillespie talks to head coach Rhys Edwards and lock Jenny Hawkins.
Wales' Sam Warburton took a group of employees from Admiral on a behind the scenes tour of the Millennium Stadium and WRU TV tagged along to bring you a snippet of what it's like for the players on match day
WRU TV goes behind the scenes in Paris with adopted reporter Jenny Davies grilling Wales Women's captain Rachel Taylor and uncovers which players she would have on a desert island, among other important things as well.