I never watched the original, but I watched this yesterday, So I can't speak this movie as a sequel, but a standalone movie.
The plot is rather bland, and sometimes outright weird.
Characters are okay-ish, but some are wasted, like that lamp post guy and the wolf, and the weird gypsy cousin, and that black accountant guy.
Songs and performance are great. I like "Trip A Little Light Fantastic" and "A Cover Is Not the Book" most.
Visual and CGI is great (duh!)
But I think I had fun watching this movie like I watched Coco last year. This is a movie that shouldn't be taken seriously. Just sit back, grab a popcorn, and relax because magical things will happen like when you lick that LSD strip.