Since 1980, the GOP has been the "Conservative Party" in American politics. Just as the Democratic Party is considered the "Liberal Party" in American politics. In order for the GOP to win elections it can't ignore its base of conservatives. Specifically, social conservatives. What happened on Nov7th 2006 was the GOP leadership ignoring its base of conservative voters, and paying a high price for it.
Many who lost in November were conservatives. The Dems ran "moderates" in the more conservative districts and states. They learned how to get beyond the control of the far-left factions of their party for that one election.
Nice try, but NO cigar!