by Jojon » Sun Mar 01, 2009 10:03 am
To elaborate a little on Boblish's answers, shadeless makes the object not be affected (both diffuse and specular, I believe) by any lights: if you make it all medium grey - it appears medium grey in game, regardless of lamps present. If your material is shadeless, you'll have to give it some ambient light, using the "Amb" slider under "Shaders", or it will show up black. Since we can all see the great-looking stuff in your picture, I'd say you've got that well down. :)
You know this, but I might as well put it down anyway: the specular light is kind of like a second pass of shading, on top of the diffuse, but it is non-linear, meaning there will be a sharp dropoff from a bright spot at one corner, to the other corners of a face. The "spe" color will simply be added to the "col" one, how much and how "tight" the "hotspot" is, is regulated by the "Spec" and "Hard" sliders in the "Shaders" panel. It is still goreaud, only non-linear, but it does give you a sort of cubist phong-ish feeling. :P
Once you've got that pesky default-on drop shadow-casting of the material disabled, via the "Shadbuf" button, you should also be able to notice a bit of increased in-game performance.
If I'm not wrong, when you create a new vertex-paint layer, it will contain an approximation of any texture mapped to the mesh.