The folder path that you enter must start with / and must not end with /.
An example for Linux is /mnt/backup.
On Synology it could be /volume1/docker/nextcloud/backup.
For macOS it may be /var/backup.
On Windows it might be /run/desktop/mnt/host/c/backup. (This path is equivalent to 'C:\backup' on your Windows host so you need to translate the path accordingly. Hint: the path that you enter needs to start with '/run/desktop/mnt/host/'. Append to that the exact location on your windows host, e.g. 'c/backup' which is equivalent to 'C:\backup'.) ⚠️ Please note: This does not work with external drives like USB or network drives and only with internal drives like SATA or NVME drives.
Another option is to enter a specific volume name here: nextcloud_aio_backupdir. This volume needs to be created beforehand manually by you in order to be able to use it. See this documentation for an example.