Despair is a level that is hard to repair. As long as we do not despair, it is easier to fix the problem. 'Where there is hope the is away, out! That's why Rebbe Nachman tells us there is no such thing as despair in the world at all! "AIN SHUM YeUSH B'OLAM KLAL! At this time it is very important to try and wake up as many people to the idea of geulah as possible. This in turn will cause an awakening. Then we have to instruct them on how to return to Hashem, it is not enough to just tell them, they have to be led!
He is very correct in saying where there is hope, there is a way out. As Soccer Dad pointed out in comments at my post, Reb Nati's second post , Hard questions, simple Answers, Part 2, depression could be another way of saying despair.
In his third post, Reb Nati points out that people have to be led. Which ways can this be easily accomplished? One of the greatest strengths we Jews have is community or emunah. Comforting the mourner, Shabbat tish, visiting the sick, and many others are examples of this. It is this sense of community which I think will led others to greater observance. You have to be part of a community, giving and receiving, in order to lift despair. When of the things I admire most about Chasiddim is the great joy most seem to have.
In or very small congregation, the greatest joy I have is during those times at Kabbalat Shabbat when voices are joined together and a spontaneity ensues and great joy comes forth. The darkness and despair of Mitzrayim has left. Though it is a small congregation, the sense of community is great. We are a family and as such, squabbles may ensue, still the voices are joined together.