Abstract: The method for color encoding and pixelization of images utilizes signals representing groups of one or more color pixels for reconstructing an image. The method involves the steps of determining the frequency of occurrence of the color values for at least a portion of the image; determining centroid color component values representing the most frequently occurring color values; determining ranges of the selected color values encompassing the centroid color values which together encompass all of the selected color values; and encoding each color component value as a corresponding centroid color value. When the image is reconstructed from run length information, color pixels for a given run length may be based upon the color codes at the end points of the run length.