A reflective Nuno Espirito Santo admitted that his side weren't good enough as Wolves were beaten 4-1 by Aston Villa at Villa Park in the Sky Bet Championship.
The hosts opened the scoring as Albert Adomah hooked a Robert Snodgrass corner beyond John Ruddy in the seventh minute.
Wolves responded well however, and Diogo Jota equalised midway through the first half.
But the home side who took the initiative in the second half as goals from James Chester, Lewis Grabban and Birkir Bjarnason clinched the win for the home side.
Speaking after the game, Nuno felt that the attitude was there within his team but felt it was mistakes that ultimately cost Wolves.
"We were not good enough, we were not focussed enough," Nuno began.
"The first half was better but the second half, no. The whole game, we were not consistent, we were not solid and how we should be, and mistakes!
"The goals that we conceded from set-pieces bothers me and I think we should look at that and make a good analysis like we always do. It is clearly poor defending from set-pieces.
"These tough moments that we have, we have to organise our thoughts.
"The attitude was there, the boys tried and sometimes you do things that you can avoid."
After the game, Nuno took a moment to thank the Wolves fans for their support despite the defeat.
He said, "I'm not happy but a word to our fans: It's a long season, the supporters have been fantastic - this moment is tough for everybody and them, especially because it is a midlands derby.
"We need them and Tuesday is the next step. Let's look at this game but let's focus also.
"It's very fast, it's a tough competition and on Tuesday we are back again with a game at home, the home factor is important in this competition.
"There were a lot of teams that played five games in a row at home, that means a lot in this competition and hopefully we can prove that home.
"At Molineux with our fans - show a better image and win the game - we need to win the game."
Wolves have the opportunity to get back on track on Tuesday evening as they face Reading at Molineux (7:45pm).
Nuno said that it will be a good judge of his teams character to how his players respond on Tuesday.
"This is the job we have to do, we have to do a better performance but firstly let's look at this game - it's a good moment to judge our character, said Nuno.
"The most important is the next game and when you lose, we will find solutions.
"The boys deserve the credit of knowing that days like this can happen bit we have to step forward and bounce back immediately."