Web Design - Convert AVI videos into YouTube-style videos

I have a web site with image thumbnails that link to AVI files that need to be downloaded and played separately from the website. I want to have the video files play within the website much like videos found on YouTube. This is my site: [login to view URL] Please send demo to be considered for bid. A good way to demo is to put my videos in YouTube style on your web page so that I can see.