Darren Ferguson challenged his Peterborough side to show more conviction as they need to “ride out the storm” having fallen to another damaging defeat.
Blackpool grabbed all three points thanks to a second-half comeback started by a Shayne Lavery penalty and completed in stoppage time by a deflected Karamoko Dembele strike.
Hector Kyprianou had given Posh the lead after 38 minutes with a near-post header from a Harrison Burrows corner but Posh fell to a fourth consecutive defeat.
“The decision-making in both boxes is not good enough,” said Ferguson.
“It’s a disappointment to lose another game and in the manner we lost it.
“We were in complete control until the goal, totally dominant in the first half but missed too many chances again and their equaliser changed the game.
“We had started the second half really well. We lost conviction and belief after that and started doing things we’d never normally do. We lost all composure for 10 or 15 minutes and didn’t create much at 1-1. They got on top of us.
“We’ve got to ride the storm now, stick together and try and get that belief and conviction back into the squad.
“The penalty incident was certainly right on the edge, it was a bad decision from Jed (Steer). That’s always the key to winning and losing.
“The finishing is not good enough, we’ve had three one-on-ones today, it’s just not good enough and we’re losing poor goals. The second one you can’t do much about but the first is a poor, poor decision.”
Blackpool boss Neil Critchley hailed his side as deserved winners, even if he was disappointed to concede another set-piece goal.
He said: “It was a terrific game, we were excellent. We got what we deserved.
“There wasn’t a lot in the first half, their best opportunities came from us giving the ball away.
“I’m really disappointed with the goal, we’ve shown a vulnerability at set-pieces recently. We wobbled a bit after that but the response in the second half was outstanding.
“We showed real character to come from behind and create the opportunities we did at a really tough place to come against a really good team.
“Kyle Joseph committing himself to get in there for the penalty epitomises the second-half performance. We were much more on the front foot, getting to the ball first and being much more aggressive.
“Him and Shayne were a real handful in the second half, really relentless with their running and work ethic.
“Shayne was the first to put his hand up when we were practising penalties in training yesterday so I was not surprised when he tucked it away very well.”