This compound is primarily utilized in the field of organic synthesis, particularly in the development of pharmaceutical intermediates. Its structure, featuring both a chloro and formyl group, makes it a versatile building block for constructing more complex molecules. It is often employed in the synthesis of indole derivatives, which are key components in many biologically active compounds, including potential drugs targeting various diseases. Additionally, it serves as a precursor in the creation of agrochemicals, where indole-based compounds play a significant role in plant growth regulation and pest control. Its reactivity allows for further functionalization, making it valuable in research and industrial applications.