The title background colour is already able to be changed. Item Background Style: is the option.
You can put your custom colour here too.
By "tighter frame" do you mean container? - my advice is to turn the container off alltogether. But you can create or have a custom container created that leaves little space next to the item it contains. This is a dnn container thing.
The option to turn off the title is not something we plan to do. We are always happy to do custom modifications for clients, however the hours to do this would not justify the feature for us. Please let us know if you wish to get a quote on custom work.
Hope you enjoy the module!