Yeah, I probably won't get any further than this.. But heres something i can do relatively quickly.
[img]http://www.boomspeed.com/sorcerorbob/baloonoban.jpg[/img]
Err. The idea is.. He's got a balloon for his head.
I have a feeling I've stolen this idea from somewhere.. But I can't remember where I've seen it.. I just think it would be funny to have a crazy headless guy beat on you, and have a balloon floating around his head.
Your concept here is actually very strong. If you took away the human aspect of the balloon guy - and just had a balloon - you could really go to town. As a virtual shapeshifter it could do a number of things:
Got an idea? Turns into a hand with index finger pointing out.
Need to kick someone? Turns into a shoe.
Need a quick getaway - turns into hot air balloon and then deflates crazily.
And what is the hero? Pump guy!
lol youve so got to get a job with midway and have baloon head man as the next secret character in mortal kombat :D