Jamie Carragher has said Liverpool need a "top player" like Borussia Dortmund's Marco Reus to improve their attack because Jurgen Klopp's current squad is not good enough for the top four.
Liverpool made only one addition in the January window, with defender Steven Caulker arriving on loan, while midfielder Marko Grujic signed but remained at Red Star Belgrade on loan for the remainder of the season.
Ex-Anfield defender Carragher said additions in wide and central areas would be required in the summer if the club were to challenge -- starting with a player like Reus.
"The squad lacks a top player who can have an immediate impact," Carragher told Sport Bild. "I'd like to see Dortmund's Marco Reus on the wing. He'd be a great fit. Add a forward and central midfielder to it and you can build on it."
Liverpool had expressed an interest in signing Alex Teixeira from Shakhtar Donetsk but eventually withdrew from the race after failing to agree a fee.
Carragher claimed English sides were being held to ransom by overseas clubs aware of the huge television revenues in the Premier League, backing Liverpool's decision not to sign the Brazilian attacker.
"I think it's good that Klopp did not stay the pace," he said. "It was profiteering, and he passed on the quickfire solution. Klopp is still analysing the squad. And he brought in a great reinforcement in Joel Matip on a free.
"A lot of that [TV] money is wasted. A lot of average players were signed for way too much, and the wages were out of proportion.
"When an English club knocks on a door in Europe, they just add five or 10 million on top of the transfer fee. They milk it."
Carragher said victory over Manchester City in Sunday's Capital One Cup final at Wembley would put Klopp ahead of where Liverpool had been under the German's predecessor Brendan Rodgers.
But he added that the longer-term goal -- commanding a regular Champions League spot -- would be harder to achieve with Liverpool's current squad and also given the impact of that broadcasting income for their domestic rivals.
Asked whether Klopp was under pressure to win Sunday's final, Carragher said: "I don't think so, but should he win his first trophy only five months into his reign he would achieve something that Brendan Rodgers did not achieve in over three years, despite spending millions.
The great @Carra23 in @SPORTBILD about #Klopps work so far, the future and possible signings. What about #Reus? #lfc pic.twitter.com/RF7y4CuffO
- Michael Reis (@donreisino) February 24, 2016
"Klopp beat City 4-1 away from home in the league. Should he replicate that, he won't be asked a lot of questions about his work in the upcoming weeks.
"Liverpool's goal has to be to become a regular in the Champions League. That'll be difficult enough, because many other Premier League clubs will also pursue that goal in the next couple of years."
On the prospect of adding to the Reds' five European Cup triumphs, Carragher -- part of the side that won the 2005 Champions League -- added: "It's not realistic with that squad.
"But the atmosphere in the team is fantastic, just like back in the day. The players are fully behind Klopp. I would have loved to have been coached by him.
"With this squad, Klopp can target a finish between fifth and eighth. The depth of the squad is just not good enough for more, but nobody expects more.
"It's not Klopp's team -- he has to work with what Rodgers left him. Also, at Liverpool a lot of money was spent and the result was negligible. That's why the coach was changed."