As video DVDs take up a lot of space (up to 8GB), one can
transcode (changing the format and encoding) the MPEG-2 encoded video into MPEG-4 encoded video via
Handbrake, which might only take 1GB of HDD capacity away, while still looking good.
Handbrake currently offers to read
VIDEO_TS folders, the folder on the video DVD with all the material (menus, video and audio) inside, and transcode the footage to something smaller. Currently variants of the space efficient and highly qualitative MPEG-4 codec are used, H264 or Xvid for example.
The current version of Handbrake offers two container formats, .mkv and .mp4, older versions also had the .avi container to transcode to.
.mkv and .mp4 containers accept the H264 codec, also used for the QuickTime trailers on
Apple's Trailer page.
Handbrake also offers
PRESETS for you to choose from. There are for the AppleTV, iPhone and iPod Touch, iPod and some more.
For more information about properly using Handbrake, either go to the
Handbrake Community, read the
Handbrake Guide or use MRoogle to find dozens upon dozens of threads about this.