If you want to reduce the size of any custom playermodel in any source engine game then you first need to download VTFEdit.
The trick is to reduce the quality/Size of the textures of the model because they take the most MB's you want to save.

After downloading it and installing, Locate your custom model's materials folder and open all .vtf files that you would like to reduce their size
1. In VTFEdit click on File>Export and save the image as .tga, Do it for all the textures you want to reduce their size. (Make sure to keep original file names)
2. Now you need to resize the size of the images that you saved above to reduce the size of them, Most likely you will be able to use paint to edit the size of the images to something smaller, But forget that, After exporting the texture yet again click on File>Import and import the image back, Upon importing a window will popup and ask you if you want to change the size if the image to something else, select a smaller size like 128x128 or 256x256 and click OK.
4. Click on File>Save As, And save the file with the original file name you started with, Then just replace the original big textures with your resized small textures.

It can save ALOT of space, From 50MB to 10-5MB

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HOW TO REDUCE PLAYERMODELS DISK SIZE - by redogg - 01-08-2021, 11:29 PM

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