Hm, I think sequels are best reserved for when there's more story to tell. Off the top of my head I'd have to say my favourite horror sequel was Hostel 2.
Avoiding spoilers, the thing which made that sequel great to me was seeing the horrific events from the darker side also. Incorporating people that seemed (relatively) normal as the bad guys added something a little more unsettling into the mix. It took things a little further and made the plot more interesting, dragging the series away from being 'just' a torture-porn classic.
And sometimes sequels can totally change a series. I've always thought of Child's Play primarily as a horror with comedy elements. This said, in my mind the later sequels (Bride of Chucky and Seed of Chucky) are comedies with horror themes. It kind of flipped the focus!
I do worry that sequels made for the sake of sequels can sometimes sap strength out from the earlier films. The Saw movies often worry me - if the plot weakens in one of the sequels then the series could become pure torture porn, rather than something which tells a good old fashioned dark story.
So yes, ultimately if it's saying something new or serving up a meaty portion of plot, I'll give any sequel a go. ;)
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