I'm assuming hostel stays or camping when hearing that sort of loadout...
To answer your "
What do you do to reduce the bulk of you toiletries down to a manageable size" question, I wouldn't pack all the consumables that are easily available at destination.
Any hotel will have soap, shampoo, body wash, hand cream/lotion, etc. already provided at the bathroom sink.
Additionally, better hotels will give you complimentary shaving cream/razor/toothpaste/mouthwash at the check in upon request. (Hilton, IHG, etc.)
If you're at lodging that doesn't... well, then continue to stuff that dopp bag full.
