The 6-2 6-4 loss to home favourite Fabio Fognini continued the Scot's miserable run of form that has seen him already lose seven matches in 2017, five of which have come in his last ten contests.
Coming into the tournament as the reigning champion, Murray will lose a large chunk of ranking points ahead of the French Open at Roland Garros, which starts in 11 days' time.
However with his lead in the rankings currently standing at 3,515 points he is guaranteed to still be world number one heading into Wimbledon, where he will look to win a third title.
But the Brit, who turned 30 this week, knows there is a lot of improvement to be done before then.
During Tuesday's game he was heard shouting "I can't move. I cannot move" towards the players' box, but was left searching for answers when asked after the game why his form had tailed off.
"The last couple of weeks have definitely been a struggle and a long way from where I'd like to be. There is no reason for it from my end," he said.
"Movement the last two weeks has not been good. My movement has been a big help, the last couple of years, but certainly the last couple of weeks, that's been a problem."