The film is already being said to be inspired by other scary flicks and Varma says it is not necessary for such films to have an original concept in order to scare the audience.
"I don't think horror films should have a new story. In Amityville Horror, there were a series of films with the same story but different set up. Fear is a basic emotion, it is not related to the plot. In fact, if you put a new story and original plot it can be counter-productive," Varma told PTI.
'Bhoot Returns' revolves around a girl, about five or six years old, who feels that there is an entity in the house, but her family members do not believer her.
"You don't know if the entity is there or she is imagining it. The whole eerie feeling comes from the fact that the family doesn't know what the girl is seeing," said Varma.
Hollywood films like 'The Ring', 'The Sixth Sense' and even Varma's own 'Vaastu Shastra' (2004) have used a child as a catalyst for horror. The director says fear is most effective when it comes from unexpected quarters.
"Horror is most effective when it comes from unexpected quarters. A scary looking person would be a very obvious tool. But a cute, innocent kid scares you more because you don't expect it. Even beautiful women have been used. In the black and white films earlier, there were these women wearing a white saree and singing in the voice of Lata Mangeshkar."
'Bhoot Returns' is Varma's first 3D film and Varma says the technology has helped him make the film more scary. "There are two kinds of horror films, one is psychological and the other is the shock factor - blood and gore. 'Bhoot Returns' falls in the first category.
"This being my first 3D film I have used the technology and sound effects in a very unique way. 3D is very compatible with the horror genre because it makes the audience feel they are a part of the situation," he said. The sequel comes nine years after 'Bhoot' released. Varma says there is no particular reason why he decided to make the film now.
"I had this idea at this point, there is no logical reason as to why I decided to make this film at this time. It's that kind of a sequel where you take the film's theme forward with a different story and new set of characters." 'Bhoot Returns' stars JD Chakravarthy, Madhu Shalini and Manisha Koirala, making it her first mainstream commercial film in a long time. "I have always been a fan of Manisha, we've worked together in Company. She took a break for whatever personal reasons she had. I thought she was very apt to play the role of a mother who is scared of her own daughter," said Varma.