Paul John’s side had failed to register a single point from their previous two outings in Dubai and George but they rectified that with an emphatic victory over tournament favourites New Zealand in the pool stages on day one.
Their hopes of further success will be boosted after brushing aside another giant of the abbreviated game, Fiji in the Plate semi-finals with a hard earned 14-12 victory on day two.
Earlier, in the knock-out stages Wales were pipped at the quarter-final stage with a narrow 10-7 defeat to the rapdily immproving Kenyan side.
The Kenyans scored an unconverted try in each half, to Collins Injera and Humphrey Kayange, to lead 10-0. But Wales refused to cave in and when Aled Thomas raced over for a converted try, the men in red sniffed a chance of reaching the semi-final but the Kenyans withstood the late challenge.
Having stunned Fiji in the Plate semis, Wales found South Africa one hurdle too many as the current series leaders prevailed 26-12 in the consolation final.
Newport flanker Craig Hill and Scarlets scrum-half Lee Williams scored tries for Wales but the South Aficans scored four tries through Renfred Dazel, Paul Delport, Vuyo Zangqa and Frankie Horne to edge four points in front of England at the top of the overall points table.
Wales collected six points for their efforts at the Westpac Stadium to move off the bottom of the table.
The next leg of the IRB Sevens series takes place on 14-15 February in America at San Diego’s PETCO Park.