The former fly-half, who led Northampton to the Heineken Cup in 2000, believes England should ultimately be targeting a World Cup win on home soil in 2015.
But with the Web Ellis Trophy to be contested in New Zealand next year, Steele admits the next 12 months will prove crucial to Johnson and England's ambitions.
"I would say a target range of two-to-three wins is what we should be expecting. But we'll also have a feel for how we can compete with the best in the world," said Steele.
"We will know whether on our day we are capable of winning against the best or whether there's a gap.
"The next milestone after that is the Six Nations, then we're on the road to [the World Cup] New Zealand in 2011.
"The coaches and the players will be doing exactly what they should do, which is focusing on the next match.
"The bigger picture is the run-in to 2011, and beyond that how we perform in 2011 is a real foundation for 2015. A home World Cup is one we should be targeting to win."