compression

Been wanting to host a few of the 30 second videos (FFXI) i've taken using fraps, however as i'm entirely new I am learning as I go along... and read that the files need to be compressed before they are hosted. So, I was told to download the program called "VirtualDub", and from here I get...

So I used fraps to record a BC last night. The resulting video is 23 min long and 4 Gig! What do you guys use to compress your fraps videos so they are more manageable on the internet?