United narrowly missed out on relegation from the Premier League last season but former manager Kinnear, who took up his new role last month, believes they must remain ambitious.
"I have worked at the club before and I know what Newcastle means to the fans," Kinnear told the Sunday Mirror.
"Last season was a disappointing one but the simple truth was that the squad just wasn't strong enough.
"The Europa League also took its toll because of injuries and that was felt in the league.
"My job is simple - to bring in quality players who will give the manager more options.
"What I see in the long term is help to put together a squad to get this club back into the Champions League."
Kinnear, who was manager of Newcastle three-and-a-half years ago, feels they have the basis of a strong squad but admits they may need to move into the transfer market if they are to progress further.
"We have some talented young players at Newcastle and if there was one benefit from the Europa League, it was that Alan was able to give valuable first-team experience to those players," added Kinnear.
"Like Moussa Sissoko, Mapou Yanga-Mbiwa, Hatem Ben Arfa and Yohan Cabaye, all excellent. And we have Sammy Ameobi, Shola's brother.
"I have spoken with Fabricio Coloccini and I am confident he is staying and Steven Taylor - well, he is a rock.
"We just need to bring in more talent."