Convert DVD to AVI with SUPER or WinAvi (Winavi costs $ though). Or just convert straight from DVD to dpg with SUPER because it can support that, I think.
From
http://www.erightsoft.com/SUPER.html :
QUOTESUPER © IS UNIVERSAL as it supports a wide variety of input/source file format to play
or encode (to & from) without any additional third party software.
Supported input source file formats are:
- Video format: 3gp/3g2(Nokia,Siemens,Sony,Ericsson) asf, avi (DivX,H263,H263+,H264,XviD,MPEG4,MSmpeg4 etc..), dat,
 fli, flc, flv (used in Flash), mkv, mpg (Mpeg I,Mpeg II), mov(H263,H263+,H264,MPEG4 etc..), mp4(H263,H263+,H264,MPEG4), ogg,
 qt, rm, ram, rmvb, str (Play Station), swf (Flash), ts (HDTV), viv, vob, wmv
- Audio format: aac, ac3, amr, mmf, mp2, mp3, mp4, mpc, ogg, ra, wav, wma
- AviSynth Script Files: avs. Let you specify advanced encoding commands using AviSynth scripts!