No two ways about it -- we lost big.
The next two years will be painful, regardless of the Virginia Senate recount. I'm very disappointed in my party and my people. For now, I'm practically speechless.
Keep the faith.
My $0.02's worth:
Republicans cannot survive when perceived (rightly) as big spenders. The same is not true for Democrats because voters perceive Democrats as spending big money on them, the voters, whereas Republicans are seen as spending on themselves and on Big Business. Fiscal responsibility is central to the Republican identity; without it, they cannot survive.
Likewise corruption and moral turpitude. Lots of right-leaners will not vote for bad people, and will in fact vote for people they disagree with on policy to punish morally weak Republicans.
Republicans must work together. We cannot win when we are divided. Agreements and compromises, such as on immigration, must be reached behind closed doors and then a united front must be presented by charismatic articulate leaders. This will be the hardest thing to do.