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"Victory could have been ours. We are aware the win was within reach."

Head coach Gregor Townsend voiced pride in the Scottish performance versus New Zealand but was disappointed by a 25-17 defeat at their home ground.

The hosts trailed 17-0 at the half, only to fight back and draw level on the hour.

However, the New Zealand team, who had three players placed in the sin bin, struck late through Damian McKenzie to deny Scotland the chance of a first victory in this fixture.

"I'm really disappointed first of all, because the effort that went into that latter period performance was all character," Townsend stated.

"We needed to push forward when it got to seventeen all and there were a few big moments that swung New Zealand's way.

"Exceptional second half, we showed our true selves today and we likely revealed who we are by failing to secure the win as well.

"There's growth in this team and we must win those crucial points when the match is there for us.

"Elements of that game indicate we are up there with the top sides in the world. We just need to make that next step."

Crucial Events of the Game

• Tries from Ewan Ashman and Kyle Steyn hauled Scotland back into an absorbing contest.
• Darcy Graham and Rory Hutchinson had been held up over the line in the first half when Cameron Roigard and Will Jordan notched points for the visitors.

"Teams get fatigued when you apply pressure," said Townsend, who has now lost three home Tests against the All Blacks as manager - all by single digit margins.

"I would like to be playing New Zealand again next week. We play Argentina and we need to apply what we have gained.

"This is the first time this team has been united since the tournament. To get that cohesion straight away is challenging and to see it develop during the game is positive.

"However it's so frustrating with that performance that we didn't get a win.

"It's the closest we've been to winning, I believe. We dominated the second half, field position, pressure, ability. We've not done that against New Zealand in our history and we are improved for the experience.

"Our journey doesn't stop today. We have a very big game next week and bigger games to come in the championship."

Captain's Reaction

Scotland leader Sione Tuipulotu described the defeat as "mixed feelings" and stressed the significance of a win against Argentina, having opened the autumn series with a historic result against the United States.

"I told the boys we required a reaction at half time," he said. "We could we lie down or choose to go for it.

"We had nothing to lose and everything to gain.

"We have to recover for next week because Argentina will not make it simpler."