Is this shipping product or still under development?
Assuming it s a shipping product, just recover and move on. Work the room while recovering (rebooting, restarting the app, etc.) and don t dwell on what happened. Customers understand stuff happens.
I was an applications engineer and this happened frequently. IMO, the key to recovering from this starts at the beginning of the relationship / sales process / demo, not one particular event. Establish trust and build credibility with your audience as early as possible. If you have this and an exeption gets thrown, the audience will probably trust you enough to think nothing about the software failure and just move past it. Yeah, you will have the occassional person looking to crucify you regardless of what you do but that comes with the territory.
Be honest if someone asks (they probably won t) and never talk negatively about your product. I also found when questioned about a fatal error, it helps, and they are very foregiving, if you can explain what happened in terms the audience understands. It demonstrates your knowledge of the software process and goes back to trust.