Immersive, dynamic storytelling functionality is described. The stories may include elements (e.g., characters, settings, duration, etc.) based on information provided, including in real time, by the user or presentation environment, and may be presented by projecting visual or audio story elements into the space surrounding the user. For example, as a child tells a story about a jungle, the room is filled with images of foliage. Animals that live in the jungle may be suggested as characters. Stories may be contextually tailored based on information about the user, environment, storytelling conditions, or other context. For example, story duration and excitement level may be influenced by the time of day, such that a story presented ten minutes before bedtime is an appropriate duration and excitement level. In some cases, objects of the presentation environment are incorporated into the story, such as a character projected as though entering through an actual doorway.