Kmart Haunted House is a nostalgic adventure game with elements designed to promote former Kmart retail Halloween costumes, toys and other products. It's an online version of the 2006 PC game of the same name. The player's goal is to help their avatar complete tasks and find a way out of the haunted house.
The player's avatar receives a limited amount of energy displayed as an orange liquid inside a jack-o'-lantern. They must direct the character away from cats, bats, ghosts, skeletons and other creatures that can drain them. If they run out of energy before finding the main exit, they lose the game.
The player starts by selecting a costume and entering a user name on the home screen. The game then takes them to a room where their avatar awaits their direction. The upper-left corner of the screen features My Stuff slots that allow them to store items that they pick up in different rooms. The house features open doorways and arches blocked by boards or metal bars. Some areas have Halloween-related locks that the player can only open with special keys.
Kmart Haunted House blocks the path of the player's avatar with creatures that either appear out of nowhere or float or run rapidly. The player must direct the avatar around these obstacles to reach the keys. That said, they might also need to complete a task first, such as carrying a monster to bed or finding food for a prisoner.