Okay, I'll see what I can do with H.264/x264
My 50-second videos are getting a total filesize of 100+MB with MPEG-4, so I really want to get them smaller.
I'm using VirtualDub because I'm too cheap for Premiere Pro/Sony Vegas. I probably would torrent Premier Pro, but my friend probably wouldn't approve of that. (Don't tell him about the Fraps x_x)
Okay, so I got the x264vfw you linked to. What settings would I be aiming for? I got the 4.1 High Profile down, but I'm not sure how to get VBR 2-pass.
(http://img585.imageshack.us/img585/1130/x264settings.png)
1 Mbps ~= 1000 Kbps
1.5 Mbps ~= 1500 Kbps
I say approximately because I don't know if in terms of bitrates do they follow the 2^n or 10^n system \o.o/
As to your second question, hold on let me download the latest version, my x264 build isn't the newest one so it looks like this:
(http://img137.imageshack.us/img137/5689/x264configmenu18dec2010.jpg)
Okay, I updated, and it still looks like that, except the build date changed.
I've been using kMod's, so the only reason I can think of for the discrepancy is that you're using the other unmodified build? \o.o/
So the only thing I can suggest now is to try the option, if Output setting actually overrides VirtuaDub's Save as AVi.. destination, or does something entirely different.