Sony Movie Studio Platinum 12.0 Rendering Issues

I shoot video on a Panasonic HDC-SD60 full HD camcorder in the best video quality mode -- HA: approx. 17 Mbps (VBR). I render my videos using Sony Movie Studio Platinum 12.0. Video rendering settings are as follows:
- MainConcept AVC/AAC
- Frame size: HD 1080 (1920x1080)
- Allow source to adjust frame size
- Profile: High
- Frame rate: 25.000 (PAL)
- Allow source to adjust frame rate
- Field order: None (progressive scan)
- Variable bit rate
- Maximum (bps): 10,000,000
- Average (bps): 8,000,000
- Encode mode: Render using CUDA if available
- Enable progressive download
These settings were those recommended in this video: • Best Vegas Pro Render ...
As you can see, the rendered video look appalling. The raw footage from the camera displayed on a TV via HDMI looks great; nice and sharp, good saturation and very little motion blur.
I never knew rendering video could be so painful. Help would be gratefully received!