Manchester City ended Liverpool's slim hopes of winning the title as they beat West Ham 2-0 at the Etihad Stadium to secure their second championship in three seasons.
Liverpool had the destiny of the title in their own hands with three games to go, but the defeat to Chelsea and the draw with Crystal Palace cost them dear as the win over Newcastle on the final day of the campaign proved in the end not enough to clinch title glory.
"I'm absolutely devastated," Gerrard told Sky Sports. "Personally gutted and gutted for the fans. They've been magnificent but we can't be too down because it's been a fantastic season and we need to bounce back for next year and try and go one better.
"It took me until I'm 33 to get the experience of a proper title race so the experience for these young lads is going to be vital and there is a lot of ability in the squad. It's growing and it's moving forward and hopefully we can keep improving it.
"We have to congratulate Manchester City because they've been the best over 38 games so congratulations to them."
Gerrard is also confident that he has plenty of more title challenges in him despite turning 34 later this month.
"I can certainly play at this level for another year for sure because I feel so fit and so strong and even though I am getting on," added Gerrard.
"But the idea for me is to carry on until my legs pack in, but I will know when the day comes, but it is not here just yet."
Gerrard admitted finishing in the top four was the target at the start of the season and despite missing out on the title, feels their season should be regarded a success.
"[Champions League] was the target but if somebody asked me if we would go to the last day in the title race I wouldn't have believed them," continued Gerrard.
"It was our target the top four but after going on a run of 11 wins we got a bit of belief and we started dreaming.
"We gave it our best shot unfortunately we fell short of it, but if that point at Crystal Palace or the three points today got us in the top four we would be celebrating for weeks now."