The new name of a file is build from the basename and an index-number. How many digits this number has, you may specify with the Digits-Gadget. If the actual number has less digits, than you specified, it will be extended with leading zeroes (326 -> 0326). If it has too many digits, the setting will be ignored and the number will be appended to the basename, as is.

The following examples should make this more clear
BasenameIndexDigitsnew name
Anim.834Anim.0083
Pic_1233Pic_123
Frame-43212Frame-4321