BeanFactory and ApplicationContext both are ways to get beans from your spring IOC container but still there are some difference.
BeanFactory is the actual container which instantiates, configures, and manages a number of bean's. These beans are typically collaborate with one another, and thus have dependencies between themselves. These dependencies are reflected in the configuration data used by the BeanFactory.
BeanFactory and ApplicationContext both are Java interfaces and ApplicationContext extends BeanFactory. Both of them are configuration using XML configuration files. In short BeanFactory provides basic Inversion of control(IoC) and Dependency Injection (DI) features while ApplicationContext provides advanced features.
A BeanFactory is represented by the interface "org.springframework.beans.factory" Where BeanFactory, for which there are multiple implementations.
ClassPathResource resource= new ClassPathResource("appConfig.xml");
XmlBeanFactory factory = new XmlBeanFactory(resource);
DIFFERENCE
BeanFactory instantiate bean when you call getBean() method while ApplicationContext instantiate Singleton bean when container is started, It doesn't wait for getBean() to be called.
BeanFactory doesn't provide support for internationalization but ApplicationContext provides support for it.
Another difference between BeanFactory vs ApplicationContext is ability to publish event to beans that are registered as listener.
One of the popular implementation of BeanFactory interface is XMLBeanFactory while one of the popular implementation of ApplicationContext interface is ClassPathXmlApplicationContext.
If you are using auto wiring and using BeanFactory than you need to register AutoWiredBeanPostProcessor using API which you can configure in XML if you are using ApplicationContext. In summary BeanFactory is OK for testing and non production use but ApplicationContext is more feature rich container implementation and should be favored over BeanFactory
BeanFactory by default its support Lazy loading and ApplicationContext by default support Aggresive loading.