I believe that traditional tokusatsu effects, augmented by a judicious use of CGI, is the way to go.
One of the areas in which I think digital effects would be used, would be the enemy kaiju, depending upon its physical appearance, attributes and capabilities. Of course, some digital effects would be used for Godzilla as well, in addition to, but not in place of, suitmation.
I would hope that the film has an edginess to it, with scenes that are shocking and jaw-dropping. It should not be a visual version of a bedtime story that would be read to children. And while I prefer dark and layered, I also want instances of humor to counterbalance the destruction and horror that must necessarily result from giant monsters with indescribible powers figthing in heavily populated areas.
Special attention must be paid to the special and visual effects. Even with suits and miniatures, it must look real. I'm not advocating the abandoning of the stylistic quailties that distinguish tokusatsu films and give them that special look we all love. But, it's got to be believable. I believe this is possible; that it look like a Japanese Godzilla film, and have production values that make the audience buy into it.
The story has to be meaningful, well-written and exciting. It should be suspenseful. The human characters must do things that we can identify with and relate to. Like the Shinoda's in Godzilla 2000 Millennium, the human characters in the Heisei Gamera films, or the Tachibanas in Godzilla, Mothra, King Ghidorah: Giant Monsters All-Out Attack, they must be seen acting like regular people. This way, it seems real, like the events we're witnessing are actually happining. If the human characters are unintentionally made android-like, by not doing the things that people do, like, for instance, sharing a meal, it diminishes the greatness of the things that are doing during the struggle to help save their country.That they display fragility, makes their courageous actions all the more remarkable.
I guess it all comes down to the artists involved, the resources allocated and the time given to make this film.