Agreed. And as an old fan of the series and horror games in general, let me add my 2 cents;
In the spirit of the Nightmare series and the survival horror genre, a game like this needs the teenagers to simply be teenagers. Remember Freddy is a god in the dreamworld, so the teenagers should be completely unarmed in that realm. No weapons allowed! Plain old-fashion stealth is required here.
The idea of solving a puzzle in a given amount of time and press the alarm clock is actually a brilliant idea in this regard. As well as Freddy being able to destroy items that can wake you up, so you literally get trapped in the dreamworld.
Also, in the spirit of the movie franchise and game genre, you absolutely need some story elements and some drama. It's basically required.
Add some "mundane" things like going down the street, going to school (school nightmares in the series, anybody?) and hanging out with your friends who also may be able to give you advice etc..
Maybe even also use the background story, where the parents are responsible for Freddy's death (which is the reason he comes back for revenge) and thusly add some mystery and story to the game.
And of course, Freddy should simply use his glove for the kills. He can however shapeshift and mess with the environment.
And blurring the lines between dreams and reality is a given. Also; Coffee, make friends with it.
edit; The jump-rope ghost kids singing "1, 2 Freddy's coming for you" are obviously also required. How could I forget that? Maybe also Nancy's diary in her old room? (Nightmare 2 easter egg)
Okay, I'm rambling. This may sound harsh and critical, but really isn't. I've been wanting a proper Nightmare game for years, especially now when there's an official friday the 13th game ;)
dodogfordervelse
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