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In this Excel tutorial, Kevin demonstrates how to insert images directly into cells, enhancing data management. Previously, images would float above the worksheet, but embedding them in cells allows for sorting and filtering of data, including images. The tutorial notes the absence of an image for the oatmeal raisin cookie and guides users through the process of inserting it. Kevin shows how to select the desired cell, click on the insert function icon, search for the new image function, and proceed with inserting the image into the spreadsheet. This new method improves organization and accessibility of images within data.