Here is a bit more information, typically Klaus has all of the helpful info in the kmakemultires.config file that is located in the tools, not with the other templates. It is full of useful info.
# jpegquality
# - jpeg compression quality for the image tiles
# - possible values:
# - 1-100 ... 1=worst, 100=best qualitiy
#
jpegquality=82
# jpegsubsamp
# - jpeg color subsampling to reduce file size
# - more informations:
http://en.wikipedia.org/wiki/Chroma_subsampling
# - possible values:
# 444 = no color subsampling (best quality)
# 422 = horizontal (1/2) color subsampling (good compromise)
# 420 = horizontal (1/2) and vertical (1/2) color subsampling (the jpeg default)
# 411 = horizontal (1/4) and vertical (1/2) color subsampling (best compression)
#
jpegsubsamp=422