Here's an edit I made to show some possible ways you could go with the sprite. I don't have time right now to list the ideas for improvement but I'll try to edit this a bit later.
9 Colors
*Edit*
Alright so let me point out some things. First off the feet, as mentioned before, looked pigeon toed. I think the main problem was that the feet came in closer to the middle than the legs. If anything the inside of the foot would only start on the inside of the leg if not a bit further outwards. The hair looks very weird and doesn't contour to his head at all. It looks like a bad toupee. Colorwise I don't think you're getting enough out of your colors and the whole piece looks a bit boring. Try some hue shifts in the color ramps.
I also shortened the legs by one pixel and made the top of the head one pixel higher so it would look slightly more top down.
I'd also say your grass might stand out a bit too much, at least with your current character colors. Fairly nice colors on the grass. Did you make those yourself or get them from somewhere? Reason I ask is because they show a nice hue shift from blue shadow to more yellow highlights. The character doesn't show this kind of hue shift just a basic color ramp.