just jump camtasia to record at 60fps with XVID codec or x264. XVID is usually the standard many people use for combo videos and match videos. just make sure u maintain the same framerate when u convert them to w/e and u will be fine. usually any video on any major video site looks crappy because the video site recompress it for web viewing.
mame recording feature doesnt lag at all
http://www.veoh.com/userVideos.html?username=morphus56k the SF3 matches were made with mame and the mvc matches were made with Camtasia
*Mame 0.116u3 has a built in AVI recorder 8-), u just hold Left Ctrl + Left Shift
right before you click start game,then let go of the button when the game loads and it displays the game running.
After the match is over,(assuming you closed it) open up mame and click File --> Replay (inp) to AVI Record then pick a codec and click OK.The replay will load and you will have to press the Record AVI button in mame. Be aware that mame doesnt assign a Record AVI button so you would need to configure that in the TAB MENU under User Interface entry.
P.S. make sure you configure the recording properties correctly or you wont get anything recorded but sound.*