Kool-Aid Man is an action-adventure game where two children are trapped in a haunted house filled with evil Thirsties. The goal is to guide the children through the house to collect ingredients for a batch of Kool-Aid . As players progress, one child may be separated from the other and controlled individually if attacked by a roaming Thirsty. If this happens twice, that child is out of the game, while both are eliminated if attacked twice.
The objective is to collect all necessary ingredients (sugar, Kool-Aid , and a pitcher) near the kitchen sink. Once collected, Kool-Aid Man appears, controlled by the player. Using Kool-Aid Man , players can gather roaming fruit and destroy the Thirsties. The game starts over with increased difficulty levels once the round is completed, unless the "kiddy mode" option was chosen during setup.
Kool-Aid Man offers a unique gameplay experience for solo players, featuring 13 difficulty settings, including a child-friendly mode that maintains its difficulty level throughout gameplay.