I really think this film is excellent and it's sad it didn't get higher viewer watching at the time. It's obviously so different to the standard formula of the franchise before by operating in 'meta'. That is what makes it great.
I can see how fans expecting the same may not relate to it and due to it being nightmare on elm street maybe wouldn't have immediately attracted a new following.
I can totally respect the views that this is perhaps Wes Cravens masterpiece. As someone who has just seen most of the nightmare on elm streets and all the scream movies I would say this is possibly the best of his films.
I think this maybe was the first or one of the first of its type and I can see how it really lead on to the Scream franchise.
The whole mood it sets is perfect. Some very gory scenes, a scarier Freddy (which was the original idea) plus some very dark moments and the frightening behaviour of the child.
The whole way it intertwines reality with the idea of the making of a fictional film is fantastic. I'd highly recommend this and hope it keeps getting more love and recognition as it deserves.
I'd say 'possibly' film to film comparison this is of higher quality than the original Scream and the original Nightmare on Elm street.