And the 26-year-old told BBC Scotland: "Tonight was a massive result for us - we've proved a lot of people wrong.
"I'm not bothered about individual performances as it's simply a great result for the team.
"It's brilliant to beat Werder Bremen as they were one of the favourites for the Uefa Cup but we just have to take one game at a time," he added.
"We have a great team spirit here, with a mix of Scots and foreign players, and that has been essential for us so far this season."
Smith said McGregor's form was instrumental in Rangers' progress in the Uefa Cup.
"He has been extremely consistent and I think he is now living up to the potential he has always had even before I came back here as manager," said Smith.
"He's an extremely good goalie. He saved the game for us."
On the draw for the quarter-finals, Smith said: "It will take a tremendous achievement from us to progress any further so hopefully we'll manage to do but we don't know.
"We're happy enough to just take what comes."
Rangers captain Barry Ferguson said the club should not fear any side in the last eight of the Uefa Cup.
"We have knocked out two good sides and Werder Bremen were probably one of the favourites along with Bayern Munich," he said.
"We have done well to get through but we did the hard work at Ibrox and knew that they would have plenty of possession here."
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