"The priority has to be a proven striker," Allardyce told the club's website.
"We have earmarked a number of players and we were unfortunate to miss out on Andy Johnson, who joined Everton this week.
"The challenge is to find another Andy Johnson that fits within our budget. Having started negotiations over four weeks ago, I was disappointed to miss out.
"Initially we were the frontrunner for Andy's signature and then Everton came in at the death to sign him. He could have easily made us into a top six team with his goals."
Meanwhile, Former Wanderer Neil McDonald, has left Crystal Palace after the departure of Iain Dowie.