A goal in either half from Jess Carter and current England Women International striker Ellen White was enough to see Albion go down 2-0 to their local rivals Birmingham City Ladies.
The Baggies started brightly and could have taken an early lead when Dugmore flicked a header inches wide from a Stewart curling free-kick.
Abi Cottam then came even closer when her ferocious effort from an angle was tipped onto the inside of the post by Blues keeper Berger.
Head Coach Craig Nicholls was forced into an early change when the injured Hazanna Parnell had to be replaced by Shannon Stamps.
And it didn't affect the Baggies as they continued to press forward and defend in a well organised shape nullifying the home side to any real attempts on goal.
But Blues began to step up the tempo and Ayisi flashed two free headers wide before Bec Thomas pulled off a fine save to tip a 30-yard drive from Williams onto the bar.
In the 42nd minute Blues made the breakthrough when Williams floated a free-kick onto the head of Carter who made no mistake to plant the ball past Thomas.
Once again it was Albion who came racing out of the blocks at the start of the Second half when Cottam nicked the ball from Westwood, but her cross was cleared away before Mitcham could reach it.
Yet it was Blues who doubled the lead on the hour mark when White headed home after Williams had flicked the ball across the face of goal.
Albion keeper Thomas then produced a fine point-blank save to deny Brazil before the substitute blazed another effort over the bar after White had pulled the ball back from the by-line.
On the counter attack, Cottam almost found Walker with a through ball, but it was just too long for the striker as Albion refused to give up the chase against the Super League side.
With five minutes remaining Albion's stopper Thomas was again called upon to brilliantly tip the ball behind for a corner following a dipping free-kick by Williams.
But despite a brave battle from the Baggies who are two divisions below their opponents, it's Birmingham City Ladies that progress through to the FA Cup Quarter-Final.
Head coach Craig Nicholls was still full of praise for the players despite his sides defeat.
“No disgrace at all today with the result.
"I'm chuffed to bits for the girls and so proud of how hard they have worked and played today.
"We have to take positives because we were playing against a top Super League Division One team with top top
Albion Ladies host Derby County Ladies in the FA Women’s Premier League Northern Division next Wednesday 22nd March 2017
WBA FC Women: Thomas, Highman, Sargent, Stewart, Darby (c), Hull, Parnell (Stamps 18), Greaves, Mitcham (Walker 78), Cottam, Dugmore (Warner 55).
Unused Subs: Butcher, Price.
Birmingham City Ladies FC: Berger, Williams, Carter, Mannion, Harrop (c), Westwood (Sargeant 78), Mayling (Ewers 84), Peplow, Stringer, Ayisi (Brazil 70), White.
Unused Subs: Wellings, Baggaley.