In the earlier days, it was important to make sure your iOS app is less than 20 MB because that was the limit iOS imposed on cellular downloads from the App store. As time goes by, the limit has been increased to 100 MB. But not everyone has a fast connection and 100 MB can take a long time to download on certain cellular connections. The creators of Clear, Realmac Software wrote a nice post on Slimming down your App Store submissions that details a few approaches to shrink down your app size.
It's a great read. I just want to add that ImageOptim is a wonderful and easy-to-use utility that always optimizes even better than Xcode. You can also use it on graphic assets for your websites.
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