compression vs encoding

compression and encoding both are nouns.

Word	Noun	Adjective	Verb	Adverb
compression	Yes	No	No	No
encoding	Yes	No	No	No

As nouns, encoding is a hypernym of compression; that is, encoding is a word with a broader meaning than compression:

compression: encoding information while reducing the bandwidth or bits required
encoding: the activity of converting data or information into code

Other hypernyms of compression include encryption.

compression (noun)	encoding (noun)
applying pressure	the activity of converting data or information into code
encoding information while reducing the bandwidth or bits required
the process or result of becoming smaller or pressed together
an increase in the density of something