The popularity of the name Damien plummeted as a result of this movie and its predecessor.
William Holden was the original choice to star in the first film, The Omen (1976), but turned it down as he did not want to star in a picture about the devil. Gregory Peck was selected as his replacement. "The Omen" went on to become a huge hit and Holden made sure he did not turn down the part in this sequel.
When interviewed at the time of the release of this film, Jonathan Scott-Taylor revealed that his characterization of Damien had been at least partly inspired by Brian De Palma's film Carrie (1976), which was released in the same year as The Omen (1976): 1976.
Don Taylor replaced director Mike Hodges as a result of creative differences, but the few scenes Hodges directed were kept, like the scenes at the factory and at the military school, and also the dinner where Aunt Marion shows her concern about Damien.