Ok well my first suggestion is ditch "Video skin creator" and do it by hand
Heres a tutorual for getting the video into the right format
Click here for TutorialThen go and download one of my video skins
Click here to download Video Skinreplace the video files with the ones that you make. Open the skin.xml in a text editor,look at it and read it, figure out how its done and then edit the skin.xml to repostion and recolor any of the text items in it, Save it and test it