So I understand the concept...You're a little boy who just went to sleep and UH OH its time for Nightmare Fuel. Time to see how long you survive. You also included some classic horror like Jason's Mask and Clowns.
That said...that's all it is. Even the opening picture has a 'skip cutscene' clickable but there's no cutscene to skip. Just a textless image. The mother and kid having dialogue here is what gets someone to be invested in the story. Have the kid say he likes unicorns and balloons and the mother say 'That's nice." And hey you start to dream and there they are.
Then when the kid collects the amount...suddenly a big clown face or Jason face shows up. "Hope you enjoyed yourself...but playtime's OVER". Now the kid is alone with no weapon and nightmares are chasing him. Having him have to find a gun rather than start out with it makes it even more scary and just better for the story.
Have the survival happen in waves. Classic method that works. You get a cutscene that starts the story, fun section that changes each time (unicorn and balloons, maybe toys for the next one, food for the next one, etc.), nightmare section that gets more difficult each time (first clowns, next level Jason masks, next level evil teachers, etc.)
Now that's a game I'll want to play for more than two minutes. Think about it.