Right, so I'm assuming you already have the extra bed for Scarlet. As far as I remember, there are multiple things you have to do while the lizard gives you that message. The first thing is go to Lily, the shopkeeper in the village with the alchemy kit. There should be a dialog option to ask about a book, something with the word "swallow", if I remember correctly.
She'll give you the book and once you have the book, that triggers another cutscene in Ivy's room in the evening.
I believe you have to watch two cutscenes in Ivy's room at the evening on two successive nights. At that point, Ivy will ask you to retrieve a staff from Melkor's tomb. Get the staff on level 10 of the tomb and let the demon in the tomb repair it for you.
You can then give it to Ivy in the evening and that should give you the rest of the scenes on the following nights in Ivy's room in the evening or at night.