The Gunners fell short of hitting that target again last season.
A fifth-place standing in the Premier League and defeat in the Europa League final to Chelsea means that the north London outfit are preparing for a third successive year without elite continental competition.
Iwobi concedes that the pressure is on to break out of that slump, with Emery having been charged with the task of delivering an upturn in fortune after being appointed as successor to Arsene Wenger.
"Obviously we want to get back in to Champions League football," Iwobi told Sky Sports.
"We haven't spoken about where our targets are for next season, but I'm sure he'd [Emery] want to improve.
"The whole team would want to improve on the previous season we had and try to get to that Champions League.
"And, if not, win as many competitions, including the Europa League as well."
Arsenal are unable to throw money at their problems, like many of their domestic rivals.
Emery is going to have to get creative again in the summer transfer window, with it reported that he has just £45 million ($57m) to spend on new recruits.
Iwobi is confident that the right additions can be made and is not ruling out a possible push into contention for title glory.
The Nigeria international added, with reigning champions Manchester City once again being installed as firm favourites for the crown: "Everyone thought that last season, but Liverpool give them a tough challenge as well.
"So, you never know what could happen. I'm sure every club's going to invest and try and get their team right.
"Pre-season's coming up really soon, so everyone's trying to get ready for the season to start.
"It's hard to say right now whether Man City are going to dominate, but they could be favourites, considering they won it again."
Iwobi’s focus has shifted away from club matters at present, with the 23-year-old forward in Egypt trying to chase down Africa Cup of Nations glory with his country.