Bah, couldn't stop myself from jumping in here.
As stated above, the Marquee should have the title be the most prominent. That's print media 101, what's meant to be read should be clearly visible to read.
Now as for character collages, the only way it works is if you re-drew all the characters in a similar style. Just cutting and pasting different art-styles together screams tackiness, and overall looks ugly.
But unless you can draw it yourself, getting an artist to do it for you will be really hard to find. It's a LOT of work, and believe me when I say it could be quite expensive unless you know of an artist that doesn't mind being exploited. We do this stuff for fun right?

Real-talk: To answer your question, yes bigger more readable title is better. But out of your 3, I'm having a hard time even choosing one that I like. I mean, the first one has the most readable title...but honestly the whole photoChopping of characters just doesn't make aesthetic sense to me. I mean, you've got a front row of mix-matched characters standing in front of a hazy/foggy background of characters. Top that off with your hard to read title, I don't even know what the hell I'm looking at. It's just noise.
To Malenko's point, I'm not sure where this trend of calling people meanies for giving a straight answer came from, but whoever started it here needs to give their head a shake. The reason why people give straight critical feedback here is for others to learn, and for the hobby to improve.
Lately cabinet projects have been snorefest lackluster on BYOAC...quality has decreased significantly and we tend to get either A. Builds with themes that don't make any sense/not picking a cohesive theme, or B. People giving praise for the quality of builds that we used to see 10 years ago.
AND I don't except "Character Collage" as a theme...that's just lazy. Do people not care about themes anymore?
If you are butt-hurt by this post, just remember, it's Build YOUR OWN Arcade Controls forum...do what you want to do, but if you're asking for opinions on a public forum, be sure to take 'em with many grains of salt.