What is GIF file format?
GIF is Graphics Interchange Format, as the name implies, it is intended for use with graphics to be displayed on the Internet. This compression method is excellent for large areas of the same color but not suitable for subtle gradations of color such as in photographs. GIF is lossless to the degree that if re-saved, the compression does not throw out any additional information. It will however reduce the color range of a photo to 256 colors. You would only use this compression if you are combining your photo with graphics having large blocks of color such as bold lettering or logos.