I know nothing about game development, so feel free to reference back to that. If the player is controlling an actual toddler in this game, rather than a 2ft tall Ethan Winters, have you considered trying to alter the camera and movement controls so they are more wobbly/unsteady? The most jarring observation I had from the trailer was "No toddler on the planet moves that purposefully.
Otherwise I think you have a fantastic spooky atmosphere and I think the idea of playing a helpless child really lends itself to the horror genre in a powerful way.
Do you think you could expand on what the gameplay is actually like?