I know that arcade games uses multiple palettes, I am making games from 1994, I converted all the graphics to 16 colors, I study well how to do that, I prefer to use some variated colors and give a good look to the game than using 3 shades gradients like original Amiga Final Fight.
I am sure of what I am doing, for a game like this, is the best we can do. Because all the characters share the colors with the backgrounds, all can have the 16 colors. There is no point on put 8 colors for the main characters and 8 colors for the background. If I remove the logo and other small details, will be the same colors.
@leathered, I can improve the detail in the backgrounds if the graphics will be used on a OCS version.
If you see, most of the arcade conversions on Amiga where in 16 colors and the graphics where so much ugly and the color palettes where washed colors most of the time.
Make a conversion of all the graphics yourself and show us