Description of compression modes

CCITT Group 3 and 4 (FAX)

You can compress bitonal images using the CCITT Group 3 (FAX one-dimensional coding scheme) and decompress CCITT Group 3 and 4 bitonal images. FAX is the more common name for the CCITT Group 3 and Group 4 standard for document transmission; however, most FAX machines support only Group 3 format. FAX is a lossless method.
CCITT provides good compression for scanned documents, where plentiful white space exists and decompresses in a reasonable amount of time. CCITT compression of photographic images is less effective.

LZW

You can compress and decompress any type of TIFF image of any bit depth using LZW, a lossless method.

Packbits

You can compress and decompress gray scale, palette, and bitonal images using Packbits, a lossless method. Packbits is fast, widely-supported, and provides good compression of sparse images, such as scanned documents.
While providing less compression than LZW, Packbits-compressed files are more common than LZW-compressed files on all systems. Therefore, Packbits is a logical compression method for files you may send to various systems. On all systems, LZW-compressed files are the next most common compressed files after Packbits-compressed files.

JPEG

You can compress and decompress gray scale, RGB and YCbCr images using the Joint Photographic Expert Group (JPEG) compression method, a lossy method based on the Discrete Cosine Transform (DCT).