Having been linked with an array of high-calibre players, most prominently Pierre-Emerick Aubameyang and Mohamed Salah, Liverpool are expected to spend big on strengthening their ranks ahead of a campaign potentially competing on four fronts.
Carragher believes that the current crop are good enough to compete at the top next season, but a few new first-team regulars must be brought in if that challenge is to be sustained over the whole nine months.
"The actual team, the XI, could go up against anyone – we saw that in the big games with some great results in those games," he told the club's official website. "But over the season, especially around Christmas and January, it was evident that the squad wasn't big enough or strong enough. That needs adding to.
"But rather than just adding players to the squad, you want to add players to the team. If you add three or four players and they go straight into the first XI, three or four of those who were playing week in, week out last season go to the bench.
"It makes the bench a lot stronger and your team a lot stronger. It's not just numbers. It's about getting the right quality that can go straight into the team."