Some quick things

I played around with the concept of the bedroom, to try and get it to be less bright. I kept the same colours, just darkened them. Also the shadows in the background look more realistic, before they looked as though the parents would have to be in the wall for their shadows to be in that position, whereas now they look better.

By Cassie Austin

Characters

I chose the two characters I liked the most and played around with them more, adding colour:

By Cassie Austin

By Cassie Austin

Here, I drew one of them in many positions, with different emotions. I'm not sure if this is necessary for me, as I'm creating the puppet in stop motion, and won't need an emotion sheet as reference to draw from. But it helped me get a feel of the character.

Drawing by Cassie Austin

Also, as suggested, I tried to make the faces out of plasticine, to get a better feel of how they would look in 3D. 

I find it quite difficult shaping plasticine as the heat from my hands melts it as I'm trying to mould it.

I'm still insure as to which of the two characters I'm going to use, I may develop both a little more first.