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This video tutorial demonstrates how to reduce Excel file size without deleting data. The first step is to compress picture size by selecting the picture, going to picture format, and clicking on compress under adjust. There are different options to compress the picture format based on the desired outcome. An alternative method is to go to file, click on more, then options, and advanced. Scroll down to image size and quality to ensure discard editing data and not compressing the image file. Adjusting the pixels per inch (ppi) can make the picture smaller.