To compress a video using Fraps, be sure to have VirtualDub (Free) and Xvid (Free). Open up VirtualDub and drag the video into it's window and then go to Audio at the top and click on -Full Processing Mode-. Then under the video tab at the top click on -Compression-. Make sure that -Xvid MPEG-4 Codec- is selected and then click on -Configure- to the right of it. For -Profile @ Level-, it will default at -Xvid Home- if you recorded at another quality besides 360p, 480p or lower, then select 720p or 1080p.
When using these programs to compress a video, I was able to reduce the file size from 4315.67MB (1080p) to 534.15MB which reduced the original file size to 12% and it still was great quality.
Hope this helps!