The ex-Liverpool midfielder was in talks to return to Rangers and replace Russell Martin following his disastrous time with the Scottish giants.
Gerrard ultimately decided against returning to Ibrox, however, and the club ended up hiring German Danny Rohl.
Reflecting on his decision, Gerrard told The Smith Bros podcast: "I think I suit a certain job; the passionate crowd - I need to try and feed off that.
"Something has to match my skillset, if you know what I mean.
"I am looking for the right match. Rangers was perfect, I was really close to going up there again.
"It's just the timing and a few other situations that weren't aligned.
"Rangers is my type of club - the fans, the passion, you can feed off it.
"It certainly suits the way that I go about it, but if something doesn't come or something where I feel like I can compete for the prizes, I am comfortable to do what I am doing."