When comparing Xfce4 terminal vs Alacritty, the Slant community recommends Xfce4 terminal for most people. In the question“What are the best Linux terminal emulators?” Xfce4 terminal is ranked 3rd while Alacritty is ranked 7th. The most important reason people chose Xfce4 terminal is:
Like other applications included in the Xfce package, this terminal emulator is very lightweight and doesn't require many resources to run. This makes it perfect for systems that have low specs.
Specs
Ranked in these QuestionsQuestion Ranking
Pros

Pro Good for systems with low specs
Like other applications included in the Xfce package, this terminal emulator is very lightweight and doesn't require many resources to run. This makes it perfect for systems that have low specs.
Pro True transparency
You can set the transparency of the Xfce4 terminal on any amount you want, out of the box.
Pro Tabs support
Xfce4 fully supports tabs and tab-based navigation.
Pro Almost everything is customizable
You can configure size, color, background, etc.
Pro Composition effects
Xfce4 terminal takes advantage of xfce composition effects.
Pro Fast rendering
Pro Can be switched to a drop-down terminal
You can configure the Xfce-terminal to act as a dropdown terminal if you want, which makes for greater ease of use.
Pro Blazing fast rendering with GPU-accelerated
Written in Rust with a philosophy focusing on speed and simplicity, Alacritty is one of the fastest terminal emulators out there.
Pro Looks good
Alacritty looks very slick on Linux, especially with GNOME or i3.
Pro Simple configuration
The configuration file is very well made and easy to use. You can fine tune your preferences to perfection in a matter of minutes.
Pro Comprehensive font options
Alacritty can be configured to adjust line spacing (height), letter spacing (width), and individual character horizontal/vertical positions.
Pro Has support for image previews in w3m and ranger
Pro Has text ref-low when window is resized
Pro Fast and simple but with true color support
It's simple and fast like xterm or urxvt but with truecolor support which is a big plus if you use a terminal based code editor. Basically Alacritty has all the features you need and nothing you don't (if you're using tmux for multiplexing).
Cons
Con Cannot set text color for character under cursor to background color
Suppose you have a dark background with a light cursor and light foreground color: the light cursor will cover up whatever character it is on, so that you cannot read it. There is no option to set the foreground color for the character under the cursor to what is normally the background color. Such an option would allow you to read the character under the cursor.
Con Execution in xfce4-terminal - e mode is not always functional
Con Resizing text resizes window
Con No profiles
There's no profiles or profile-based customization in Xfce-terminal.
Con Can't scroll on spamming text
When text generates too fast, you can't scroll it, so you just can't read anything in such moments.
Con Does not support sixel images
Con Cannot into ligatures
Alacritty does not support ligatures in Fira Code, Iosevka etc.
Con Unreliable Font Rendering
Like a box of chocolate you never know what you're going to get.
Con Sacrifices basic features for raw performance
The Suzuki GSXR of terminals. Or your ditzy, blonde high school cheerleader; fast and pretty but not a lot going on under the hood.
Eschews a negative developmental philosophy towards including said functionality, with the official reason cited in project documentation as "Not within the realm of a terminal emulator" and ostensibly, "best left up to other tools such as terminal multiplexers" [such as screen or tmux]. Which is unfortunate when you factor in speed against terminal with the functionality built in vs their reliance on 3rd party tools:
tmux on alacritty: 'find /usr' time: 3.234s, cpu: 72%
tmux on konsole: find /usr' time: 1.777s, cpu: 96%
See issue here.
