> Like I said, you aren't going to get smaller files without making a sacrifice.
> If less filsize is most important to you then you should focus on a target
> bitrate at the expensive of quality.

One option is to requantize original MPEG2 stream.

http://code.flexion.org/M2VRequantiser.html

It makes your file smaller with minimal quality loss on video 'focus' area. But 
it is fairly fast and easy to use via pipes. Demux -> requant -> Remux.




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