"I have been involved in many derbies during my time in management, particularly in the Premier League, [but] this is an atmosphere that is unique in derby terms," said Allardyce.
"[They have] one of the best strike forces available in the Premier League which we will have to master on Sunday.
"We need to not waste the possession we get and not let the occasion overawe us.
"When we get a chance we need to score. We need to be clinical in our scoring when they come along.
"Hopefully we can get a good performance and at the end of that, a result."
"You can't say 'if we block these two players off, we will stop Liverpool'. They are more than that at the moment, it's four or five for me," he added.
"That's the hard bit for us, that interchange of movement, the runs they make and their skill on the ball.
"They don't need to rely on one or two people to score, they have goals all around.
"If we do cope with that, what are we going to do when we get the ball? If we are not going to be clinical and show ability on the ball, we will struggle to get out of our own half."