Alright, here's my method, at least if I was to do graphics for a game like this: http://digitalnoisegraffiti.com/backups/template.blend
First, if you don't realize it, that's a direct download link to my junk folder, so some browsers will try to open it as a text file because they don't know what it is, just right click and "save as ..."
Now, the fun part. This one has it all, literally, it will not only save the images when you click "Animate" to render the animation, it will also rename the files correctly to the name for character sprites. Setting up the animation cycle for those new to Blender may seem a bit daunting, but it's not as hard as it seems. Go into the curve editor, select the channels that actually do something one by one and add the cycles modifier, the defaults work just fine. It will animate the eight facings for ten frames of animation, I'll update it soon to make it easy to customize the number of frames without editing the script and scene rotation. If you use cloth modifiers it won't be effected by the rotation either, the lighting and camera rotate by default.
The reason for this method is actually because someone on IRC mentioned not having a decent way to track rendering progress with the original script, there is no good way to do that so I offered some advice and I don't think they understood what I was talking about, so I made this file. There is one trick to the script used in this file, it's a small one but can be a bit confusing, let me know if you need help with the material nodes.