Fridge Horror: Ralphie mocks Frog's prophecies saying "he told me I'd meet a tall dark stranger and go on a long journey. Considering what happens to him shortly thereafter....
Fridge Logic: Not that any of the characters would be likely to realize this, being animals and toys, but any canned goods company using a Droste Image as their label probably wouldn't bother to display more than four or five iterations, since after that point it would probably be too small to print in detail even if you could see it. Which makes the Child's vision at the bottom of the pond even more creepy and confusing.
Heartwarming Moments: The bum from the beginning of the movie appears at the end to look inside the dollhouse and say "Be happy."
When the title characters get smashed with a rock.
What Do You Mean, It Wasn't Made on Drugs?: There are several "trippy" segments in the film, including a section where the Child sees the label on the Dog Food tin repeat inside itself numerous times (because the mascot depicted on the label holds an exact replica).