Pep Guardiola's Premier League champions head to Anfield trailing Liverpool by six points through 11 games this campaign, while the Reds remain unbeaten in league play with just one draw coming against Manchester United.
City claimed the title last season, finishing a point clear of Liverpool despite Jurgen Klopp's men losing just one game, a loss that came against the eventual champions.
The Brazilian said Liverpool had no interest in experiencing that again, eager to go one better in 2019-20 and claim the Premier League title after falling just short during last season's push.
"We don't want to feel how we felt last season," the goalkeeper told The Guardian .
"Being second by just one point – and we don't know which game made us lose the title because we had a few draws where we could have done better, and we had the loss away to Man City when we could have won or drawn – means we know that we need to give everything in every game if we want to become Premier League champions.
"We want it and we will try to do it."
Liverpool have won 10 of their opening 11 Premier League games to open up an early lead at the top.
Alisson knows how important Sunday's encounter is as the European champions try to surge further clear.
"Last season we had a great experience, an almost perfect season," the Brazil international said. "We lost one game and that one game was against City. We know how big this game is for us.
"We know how big the game is for everyone – for them and for our fans. In the end it is just three more important points but Manchester City have been the best team in the league for the last few years so we need to give everything to win this game."
Liverpool enter Friday's match having topped Genk 2-1 midweek in the Champions League, while Manchester City settled for a 1-1 draw with Atalanta in a match that saw Kyle Walker play in goal following an Ederson injury and Claudio Bravo red card.