The Villains currently find themselves in the relegation zone, having taken just nine points from their opening 12 fixtures this term with only two victories to their name.
But the 43-year-old Scot has moved to reassure fans their fate is not sealed yet, and insists his side will be able to bounce back from the heavy defeat and climb the table.
"It's not where you want to be, nobody wants to be there but you have to bounce back and keep going," he told the Birmingham Mail.
|VILLAINS SHOOT DOWN GUNNERS
|14/1||Aston Villa are 14/1 with Bet365 to beat Arsenal 2-1|
"Manchester United, Manchester City and Arsenal are three massive games on the bounce but we're certainly not playing badly that's for sure.
"[The players] will be fine, they always have been. I'll just lift them again and they will bounce back."
While Villa have slipped to two defeats against the Manchester clubs ahead of the clash with Arsene Wenger's team this weekend, Lambert insists his side have enough ability and time left to turn things around.
"The performances haven't been too bad but against Man United, City and Arsenal you're going to have to play to your top ability against them.
"There's an awful long way to go but we'll certainly keep going. Of course five-nil is never an easy result to take but this won't hamper our progress."