Can I shrink video files?

blue-eye-boy

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Hi all, I recieved some tv series video files from a friend. I'm not sure exactly what type of file it is. On the clip properties, under filetype, it says videoclip. And the icon which is diaplayed when I open the cd with explorer, says avi. So I think it's avi files. Okay, can I shrink that file type further, and with what program? The reason is that I want to write it to dvd disks, and now it will fit on about 5 dvd's, while my other series all fit on 2. Thanks
 
But you'll sacrifice quality. Normally I get 11 episodes to a DVD.
 
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