How can I squeeze them into the smallest possible size without dramatically reducing the quality? I am using TMPEng
'quality' means differnt things to different people. Try using the templetes for VCD and SVCD and see what you think. And remember, 'good quality' means 'long time' when using tmpegenc. I really mean it, find what quality is acceptanble for YOU.
I finally found my answer! Windows Movie Maker (XP) 2 hour movies within 150mb SWEET! and yes, longest is the best. 3 hours to make it.