As has been stated before, the problem is the software used. There are numerous ways of resize images, and the software you used had a bad way of resizing. Some programs let you choose from Nearest Neighbour, Bilinear or Bicubic. If those are the options, go for bicubic.
As David Metsky said, I agree that your expectations may be unrealistic.
You say that your software shrinks a 175x175 pixel image to about 69K, but you would rather it be about 250K. If you save a 175x175 pixel image as TIFF(without compression), you will get a file of about 100K. There is nothing you can do while saving to make that same file a JPG of about 250K. There just isn't that much information.
You also say that the bottles in your thumbnail seem pixelated. That is a 150x150 pixel thumbnail which would make the bottles about 50 pixels tall. Just how much detail do you expect to get in that 50 pixels?
If you want more information in your photos, you will need more space than the 175x175 pixel dimensions you are using.
At what size is the 175x175 pixel image on your monitor when you start to see the pixelation. If you blow up any image too much, you will start to see pixelation.
Different software may give you a little better results, but I wouldn't expect miracles.
It's got to be the software. I just went back to one of my other sites where I used Photoshop Lite and the file sizes are around 10K and much better. I really appreciate you guys jumping in and helping out.
Originally Posted by Ray Schnoor