Approach 2 should render faster, but not significantly so. You'd actually want track motion for this, not Pan/Crop, but either will work. Were it me, I'd just make the image to size, not have Vegas scale it, and lay it where you want it. That will be fastest. Transparency will remain intact if you used a 32 bit file format.
Thought about that one too, but I figure it would be the same as Approach 1 since I would still end up doing a Pan/Crop to move the image to the lower right .... although this method would not require changing the composite level.
I might have to end up trying them, just wanted to find out if anyone already tried this or have some inside tip.
Just to stress this again (others have said this)... you should be using track motion to do this.. not pan/crop. It's not that it is impossible to do it using pan/crop (although sometimes it is)... but that is best used as a way to pan/crop/zoom within an image. For positioning of an image to a particular part of the video frame.. it is best to use track motion.
JahMike, did you get the concept of using Pan/Crop from the Naked Vegas book? This is how the book describes image placement, and it's simply not the best way to do it.
Spot, no. I was just playing around with Vegas and this was the first option I found. I just found out about Track Motion and I think Pan/Crop is in trouble now. :D
Also, is there a easy way to reset Track Motion to it's default if you made changes to the first keyframe?
Open Track Motion, make sure the first keyframe is selected (if that's the one you're wanting to restore), right-click the adjustment area, and choose "Restore Box".