Houllier said: "It is a spur to us to see the Champions League and not be in it. "I am sure the players are watching it and believing we should be there, and they are saying that is where we want to be next season.
"The best way to prepare for getting back into the Champions League, which is more than a desire for us, is to do extremely well in this competition.
"When we won the UEFA Cup two years ago it helped us to go on and reach the quarter-finals of the Champions League the following season.
"It's our target to get back to where we belong. The players want this, some of them haven't won it. This club made its reputation through success in Europe and the players want to play in the best competitions.
"We've got a good record in Europe, we've lost only two of our last 22 games away in Europe. We have been doing well, been getting the results, I hope this will continue.
"We are in the UEFA Cup and we're going into the competition to give our best and win it. We feel that about any tournament.
"The first rounds are not the easiest, remember Bucharest and Liberec a few seasons back, these teams defend hard and make life very difficult. They raise their games and are difficult to break down."