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This video tutorial demonstrates how to reduce Excel file size without deleting data. It is important to save a copy of the Excel file before attempting any changes. The first step is to compress picture size by selecting the picture, going to picture format, and compressing under adjust. Different compression options are available depending on desired results. An alternative method is to go to file, click on more, options, advanced, and select image size and quality settings to ensure images are always compressed. This helps reduce file size without losing data.