John Hoyt plays Mr. Franz, a kindly but lonely doll maker with a dark secret. In addition to his skill at producing dolls, he has also perfected a method of shrinking human beings down to doll size (or "puppet size"). He has also developed a method for keeping them in suspended animation until he takes them out of their storage cylinders and forces them to have little parties for his amusement.
June Kenney (credited as "June Kenny") plays Franz's new secretary who engages in a whirlwind romance with a salesman (played by John Agar) before they are both shrunk down and join Franz's collection.
- Kenney and Agar go on a date to a drive-in movie where Bert I. Gordon's film The Amazing Colossal Man is playing.
- Similarly, Gordon's subsequent film Earth vs. the Spider would refer to Puppet People, as one of the characters worked in a movie theater. Both films starred June Kenney.
- Bert I. Gordon's daughter Susan appears in the film. She would later play Sandy in Tormented.
- Jack Kosslyn appears as Sgt. Paterson. No sign of Merritt Stone or Gene Roth.
- The "puppets" that appear in Franz's special cylinders are clearly two-dimensional photographs of the actors cut into paper dolls, which required them to be held at a certain angle in order to avoid revealing their flatness.
- Mike has a manic episode at the mention of "Lady Elaine Fairchilde". Fairchilde was a rather grotesque puppet that appeared on the long-running children's' TV program "Mr. Rogers' Neighborhood".
- "Not as bad-ass as 'Mrs. BRAD Wesley, but...mmm...okay!"
Spoken by Mike after John Agar's character Bob Westley asks Sally to become "Mrs. Bob Westley". Brad Wesley was the wealthy and ruthless villain played by Ben Gazzara in the film Road House (a previous RiffTrax presentation and longtime favorite of BBI).
- "Ah shoes... Great for lock-picking AND hurling at major political figures."
Kevin is most likely referring to an incident during the administration of US President George W. Bush in which an irate foreign journalist threw both of his shoes at Bush (more as a show of disrespect and outrage than a genuine attempt to injure him) during a press conference. The same tactic was later used against Hillary Clinton as well.
- "...Such as seals."
A callback to the stiff line reading from the news reporter in Birdemic.