Ceramic and neodymium magnets each have different benefits. Ceramic magnets are easy to magnetize. They are very resistant to corrosion and generally do not need extra coatings for corrosion protection. They are resistant to demagnetization by outside fields. They are stronger than natural magnets, though many other types of magnet are stronger than them. They are relatively inexpensive. Neodymium magnets are the most powerful of all permanent magnets. A neodymium magnet can lift more than any other type of magnet of the same size. In addition, they are extremely resistant to demagnetization by external magnetic fields.

Ceramic and neodymium magnets have different drawbacks as well. Ceramic magnets are extremely brittle and easily broken. They cannot be used in machinery that experiences a lot of stress or flexing. They become demagnetized if they are exposed to high temperatures (above 480 degrees Fahrenheit.) They have only moderate magnetic strength, making them unsuitable for applications requiring powerful magnetic fields. Neodymium magnets are relatively more expensive than ceramic magnets. They rust very easily, and extra steps must be taken to protect them from corrosion. Coatings are commonly used to protect them from the elements.

Ceramic and neodymium magnets are each most appropriate for different applications. Use a neodymium magnet if you need the strongest magnetic force in the smallest form factor. If strength is not important, a ceramic magnet gives you more magnetic surface for the least amount of money.