...the best thing is to get back on and try again!
Something like this happened to us a while back. We have some friends that we play with and feel very comfortable with. We'd played with them a couple of times before, but we were still in our "everything but" phase in the Lifestyle. Basically, we'd enjoyed everything but intercourse with this other couple. They were completely cool about it, as we'd explained that Mari had never had intercourse with anyone but me and at the time, she wasn't completely sure she wanted us to "go all the way" with anyone else. At any rate, for a few weeks before this night, Mari and I had discussed taking that final step, both on an intellectual level and incorporating it into our fantasies. A day or two before we were to meet them again, we'd decided that so long as nothing completely out of the ordinary happened, we were ready to try it - at least just once and with this particular couple. We IM with them pretty regularly, and the day before, we hinted that it might be a possibility, but we didn't commit to anything, just in case Mari decided when the time came that she didn't want to do it after all. We didn't want any hurt feelings.
So we were all playing and Mari gave me a signal that she was comfortable with it and wanted to try and she told him so. He was really excited and went to go get a condom. His wife and I were kissing and touching Mari all over as we waited. He came back, his cock rock hard, and kneeled down between her legs and {insert comical going down sound effect here}. Houston, we have a problem...we are No Go for launch. Poor guy, try as he might, he just couldn't get his soldier to stand up at attention and salute. At one point, he was actually slapping the hell out of his poor shlong! I think he just got over excited at the prospect of being her "second first" - sort of the swinger equivalent of having a virgin. lol Being the kind people that we are, we teased him about it, of course.

Mari pretended to cry

and was wailing about him not finding her attractive in her best melodramatic style. Everyone laughed it off and we all got dressed and said our goodnights. A couple of weekends later, we all got together again, and this time he had no problem at all staying hard and they boinked like bunnies in nearly every conceivable position, came several times each, and had a great time.
Get back on the horse, cowboy!
Cheers!
~Mike