‘Real’ chocolate is made using sugar and two ingredients obtained from the cocoa bean (cocoa mass and cocoa butter) as well as sugar for dark chocolate, but sugar and milk powder for milk chocolate.
White chocolate is made from cocoa butter (usually up to 50% of the cocoa bean), milk powder and sugar.
In ‘coating’ chocolate, the cocoa butter is replaced by vegetable oils and cocoa powder is used instead of cocoa mass.
Real chocolate has a better taste and mouth feel than most coating chocolates.
However, if made with quality ingredients and the right type of equipment is used, coating chocolate can be a very nice product. Coating chocolate certainly has technical advantages for a number of applications, particularly in warm countries because it has a better resistance to heat.