Industrially, benzyl chloride(100-44-7)  is the precursor to benzyl ESTERS , and benzyl ESTERS are used as used as  plasticizer, and perfumes. Phenylacetic acid, a precursor to pharmaceuticals, arises via benzyl cyanide, which is generated by treatment of benzyl chloride(100-44-7)  with sodium cyanide. Quaternary ammonium salts, used as surfactants, are readily formed by alkylation of tertiary amines with benzyl chloride(100-44-7).
Benzyl chloride(100-44-7)  also reacts readily with metallic MAGNESIUM to produce a Grignard Reagent. It is preferable over benzyl bromide for the preparation of benzylic Grignard reagent, since the reaction of the bromide with MAGNESIUM tends to form the Wurtz-coupling product, 1,2-diphenylethane.
In organic synthesis, benzyl chloride(100-44-7)  is used for the introduction of the benzyl protecting group for alcohols, yielding the corresponding benzyl ether, and carboxylic acids, yielding the corresponding benzyl ester. It may be used in the synthesis of amphetamine-class drugs, and for this reason sales of benzyl chloride(100-44-7) are monitored as a List II drug precursor chemical by the US Drug Enforcement Administration.

Benzyl chloride(100-44-7) is prepared industrially by the gas-phase photochemical reaction of TOLUENE with chlorine:
C₆H₅CH₃ + Cl₂ →C₆H₅CH₂Cl + HCl
In this way,  Benzyl chloride approximates 100,000 tonnes are produced annually. The reaction proceeds via free radical, involving the intermediacy of the chlorine atoms.Side products of the reaction include  benzotrichloride and enzal chloride.
Other methods exist, such as the Blanc chloromethylation of benzene. Benzyl chloride was first prepared from treatment of Benzyl Alcohol with hydrochloric acid.