I rendered your cap and the lettering looks perfectly fine.  It appears that you posted a preview image and not the final render.  Preview texturing sometimes do not appear sharp and clear unless you use hi resolution images.  If your images look dull, I would first check that your monitor is properly calibrated.  The settings may be incorrect.  Unfortunately, you have chosen a poor example for your problem.  Your model is basically black and white, and Robynsveil's suggestion about gamma correction does not truly apply except for the red pompom.  Try to add some material texturing detail to the cap.  

I would check the monitor first.