Just finished Season 2.  Agree with DominicCobb, a bit of a letdown.  In many ways it was the same horror/action split you saw with Alien/Aliens, except not as well executed IMO.  I preferred the subtler creepy vibe of S1 to the more straightforward scary monster vibe of S2.  And Episode 7 gets some well-deserved shit – what’s worse than how bad it was, is how unnecessary it was.  Was this an attempt at test-marketing a spin-off series featuring all the other experiments that were done before StitchEleven came along?  I can’t even figure out why someone decided to write it.  It is entirely skippable and all you really lose is the backstory for a hairstyle.  Bleh.
That said, I liked some parts of S2, and overall I thought it was okay. Some characters were great – Steve and Dustin in particular. I thought that the slow parts were better than the action-packed parts, in the sense that I enjoyed watching these characters trying to get on with their previously normal lives, while suffering from the after-effects of S1. But I feel S1 has some re-watchable value, and I’m not sure S2 does.
Yeah, I agree that VHS-style Blu-ray set is pretty bad-ass looking.