If you're 'transfering ' to an .avi you'll increase it's file size, and it must have taken you ages!
With picture files it's analogous to bitmap (avi) and jpg (mpeg) . Not that most folk deal mith bitmaps these days...
DVD format video is mpeg-2 and much more compressed than an .avi format.
As said above, xilisoft is OK. As for Kies I don't know.
Good luck with it, and have something else to do while it rips, 'cos it takes a while.