A dream home debut from Mathias Ranegie and a double from Troy Deeney saw Watford cruise past an abject Blackpool who are unable to buy a win at present.
Without suspended pair Jack Robinson and Tony McMahon, Blackpool defended criminally all afternoon and the score could have been worse for the horribly out-of-form visitors.
No-one challenged Ranegie or Deeney as the striker partners were allowed to claim two goals each with a minimum effort.
Ferguson refused to publicly hammer his players but admitted some harsh words had been spoken in the dressing room.
"We simply were not good enough," said Ferguson. "We got beaten by a better team.
"What's been said in the dressing room will stay inside those four walls but you can pretty much guess what has been said.
"The players have let themselves down. There are five contracted players for next season here. The rest are out of contract. If they want to get themselves a club they certainly haven't done themselves any justice today.
"The quality of the goals we conceded is a major worry. All I can do is put together training sessions and work on things like corner kicks and free-kicks and go from there.
"You can go through things as long as you want, but if you don't pick up your man they will score goals and that's what happened.
"We were not good enough. We needed players to take it by the scruff of the neck but there was nobody who did that. It's a major worry.
"If I didn't play well, I always gave 100 per cent and that certainly didn't happen.
"As long as I've been here I've given everything I've got. The vast majority didn't do that there today, but if I can't motivate a team then I've got a major problem as well.
"I need to look myself in the mirror and say 'can I really do this job?' People tell me I can, but you need to ask them (the players) that. They're all huge games coming up, but if we play like that we've got no chance."
Watford manager Beppe Sannino was pleased with the win and believes Ranegie's physical advantage - being six foot five - was a great advantage.
He said: "I'm happy for Ranegie and also for Troy for the kind of goals they scored. They were very nice goals.
"In the box it is very important to have physical qualities, but sometimes we need more agility in other games.
"But don't only watch how tall a player is, but what is in their heart. For English football you need a bit heart and I hope Ranegie will have this. Today he scored two goals, but I'm not focused on their goals, I'm focused on their work.
"I am very happy about Troy today. The fourth goal was really nice. I hope that he will have the opportunity to score these goals in a stadium wherever he will land, maybe this will be with Watford, maybe not.
"I think that the strength of the team is not because of the strength of single players. It is up to each player to have a dream and that dream is the Premier League.
"That is the right thing and we have to accept that. I hope that all my players one day play in the Premier League.
"It isn't the moment to speak about the play-offs, because I'm not thinking about the rest of the season right now.
"I have two days off and I'm going to Italy. All I'm thinking about is my flight. After 75 days away I will be back at home. On Tuesday I will be back at Watford and I will start to think about the future."