The cover art features a werewolf sitting in an armchair in front of a fireplace reading a book. The werewolf is wearing a white-and-red striped shirt and plaid pants.
You awaken on a bus, as the driver announces you have reached your stop, the titular Twisted Tree Lodge. You note that you are the only passenger on the bus and back-story information explains that you have won a writing competition for writers with a story called "Revenge of the Werewolves".
The prize is to attend a horror convention, which only famous writers could attend. The only problem is that you won under false pretenses. You never actually wrote anything... You actually found an un-signed story and wrote your name on it, as a joke and then accidentally lost it before you could even read it. Somehow it won the competition but you're left feeling guilty suddenly, considering you did not really earn it. The bus driver does nothing to ease this guilt, either...
As you approach the front door, an odd man wearing all black, along with a black hat obscuring his face and carrying a black briefcase emerges from the shadows! His briefcase flies open and pages flow out of it and into the wind. They all float to your feet and you realize all of the pages belong to some horror story. You try to call the man over, thinking he must be one of the writers, when he suddenly vanishes!
You look at one of the pages to realize it's the same story you inadvertently plagiarized. The story is about a child who arrives at a lodge after winning a competition and sees a man drop his story from a briefcase. Are you in this story right now? You check a few other pages and read how everyone in the lodge is now in danger, because their creations will come to life to take revenge on them for how they have been portrayed in the stories. You decide it is probably a coincidence but you decide you better find that man and return the missing pages to him.
As you prepare to go into the lodge you notice the man in black walk past a group of hedges and you call to him. But again he does not hear you and now you must decide to go in or follow the man...
You choose to enter the lodge instead of trailing behind that mysterious man and notice how empty the lodge is. But someone had to let you in, so you search the rundown lobby for any signs of life. At the front desk you ring the bell, but nothing happens. When you do it again someone suddenly grabs your arm and tells you not to do that, since you do not want to let others to know your here. The boy who stopped you is named Corey, who is also both an accidental cheater and competition winner.
After some chatting, both of you realize that neither of you had a chance to confess your guilt when you both hear voices and quickly hide in a cupboard under the stairs. Corey explains that something strange is going on at the lodge and all of the writers have been lured here for some reason. He believes the two of you should hide until thinking of a plan. While choosing to leave introduces you to three famous (fictional) writers.
But it does not take you too long to realize how dangerous this place is...
You decide to follow the man in black so that you can return the manuscripts. But when you go the direction he did, you cannot find him at all! You see more pages on the ground and examine them. Then you notice a boy climbing out of the window from the lodge. The boy tells you that he is trying to escape and someone locked him in his room. You ask the boy about the mysterious man and the boy points to him, who is now leaning out of the window.
The boy also warns you that your life is in danger and he runs into the forest. The man tells you to return the pages. After some choices, you run into the forest to run into the boy again, whose name is revealed to be Corey.
- You forget about Corey and go to your room, but he appears, monstrously changed. He tells you that the writers "plant" stories to lure kids to the lodge for them to eat. Then he turns into a werewolf and apparently kills you.
- You have to confess to the writers that you didn't write "Revenge of the Werewolves". They know you didn't — but tell you that only a werewolf could have found the story. You and Corey both transform into werewolves (it's suggested that you were always one; but not explained why you never knew about this before).
- You are trapped by Maria and Peter, who let three werewolves into the room to play "games" with you.
- You try to turn Maria, Peter, and Grimsy against each other by pointing out that they're different creatures with different needs when feeding on people. But they claim they're best friends and they will just share you; meaning they're going to kill you anyway.
- You and Grimsy run to warn Peter about the werewolves, but he's already turned into one. You are then trapped in the room by him, Maria and Corey, all now werewolves. They lunge at you and it's implied they either kill you or turn you into a werewolf.
- You're forced to remain at the lodge as the werewolves' editor, helping them to write their own horror books.
- You try to open a drawer which has a handle in the shape of a wolf's head. The handle bites you, and you transform into a werewolf, then attack Corey. You and he will remain at Twisted Tree Lodge with the other werewolves forever.
- Pressing DELETE on the typewriter deletes the story and thus, everything else: including you, Corey, the werewolves, the lodge, and apparently the book itself.
- Corey turns into a werewolf and traps you in a coffin. The words "THE END" appear on the page you were holding.
- Corey lures you into the woods and turns into a werewolf, then bites you and you become a werewolf too. He says that competition winners are easy prey for him because horror fans are so gullible.
- The man in black tells you that there are too many characters in the story, and if you want to survive, you have to write him a list of ten reasons why he should keep you as a character. However, you have "writer's block" and can't come up with ten.
- You hear howling outside your room and think it's a werewolf, so you try to smash the window to escape. But the howling is coming from a guard dog that the woman from the lobby brought with her. She is so angry at your vandalism that she throws you out of the lodge and sends you home. You don't get to go to the convention or meet any of the authors.
- You and Corey are hiding out in the woods from the man in black, who has turned into a werewolf. You decide to leave his manuscript pages behind for him in the hope he'll leave you alone. The pages form a trail that leads him straight to you, because, as he explains, anything he writes comes true.
- You and Corey take the manuscript's advice of going into the stream; but are ambushed by the man in black. He deliberately wrote that instruction to lure you.
- You are trapped in a coffin with a vampire getting ready to eat you.
- You and Corey are running from zombies. You break through a wall to escape the zombies, but there is nothing on the other side and you fall through the air forever (as there is literally nothing, meaning no ground for you to land on). A page of the manuscript flies past you and you see the words "if the zombies don't get you, NOTHING will".
- Taking hold of a cursed walking-stick turns you into a werewolf, and you bite Corey, who becomes a werewolf too. You go back to the lodge to join the other werewolves and enjoy the titular "Revenge of the Werewolves".
- You try to fight off the man in black by throwing stones at him, but then your dad arrives and yells at you. The competition organizers called him to take you home; they've found out you and Corey didn't really write the stories, and have banned you from the convention. You try to explain about the man and the werewolves but your dad doesn't believe you. You will be in huge trouble when you get home.
- Corey tricks Maria into thinking that you and he are "dust bunnies". She and the others run screaming out of the lodge, apparently terrified of dust. You and Corey escape and you're glad that you now have an excuse not to clean your room.
- You save everyone from the werewolf curse, turning them back to humans.
- Trying to escape from the lodge, you smash a window and trigger a security alarm. The police take you to jail because they think you were breaking into the lodge; but you're glad to be behind bars where the werewolves can't get you. Grimsy publishes the story of your time at the lodge, and dedicates the book to you.
- You change the story on the typewriter so that all the werewolves are transformed into poodles, and you and Corey are heroes. The writers, who have all been turned into waiters because of a spelling error you made, hold a banquet in your honor.
- Tearing up the manuscript defeats the monsters. You and Corey triumphantly go back inside the lodge and call home.
- You hide from the vampire under a table, and he catches you. Suddenly the lights come on and you see the cave is full of famous horror writers; the man in black claims that everything was an elaborate test of your bravery. He welcomes you to the convention and declares you and Corey honorary members of the Masters of Horror Writing Association. But he and his dog still look like werewolves, and you think that the vampire was real. You aren't sure that you will ever know the truth.
- You and Corey escape from the zombies that were chasing you. You then find out that you're conveniently close to a bus station, so you both go home on a bus.
- There is a reference to the Goosebumps TV Series on page 3. At the horror convention, you see a man who is dressed in all black with a black hat. His briefcase pops open and papers fly out. This scene is identical to a scene acted out by R. L. Stine in the opening sequence of most episodes of the show.