Webhooks vs. APIs: What’s the Difference & Which One Should You Use?

So, you are a web dev enthusiast or a business owner who has built an amazing app. It works perfectly, but now you need it to talk to other apps and share data—maybe send notifications, update records, or trigger automated actions. How do you make that happen? This is where webhooks and APIs come into play.

You may think of APIs (Application Programming Interfaces) like waiters in a restaurant—they take your order (request), pass it to the kitchen (server), and bring back your meal (response). 

Meanwhile, webhooks are more like a food delivery service—you place an order once, and every time your favorite restaurant makes a new dish, they automatically send it to you without you having to ask again.

Both webhooks and APIs facilitate communication between apps, but they work in fundamentally different ways. 

Understanding when to use webhooks and when to use APIs can save you time, improve efficiency, and make your integrations seamless and real-time.

In today’s blog, we at Mavlers, with our rich repertoire of 13+ years of experience in the web dev field, will help you break down webhooks vs. APIs, understand their key differences, discuss real-world examples, and ultimately decide which one is the right fit for your needs. 

Let’s dive in! 

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Understanding the basics of API (The request-response model)

So, both APIs (Application Programming Interfaces) and webhooks act as messengers between different applications, ensuring that they can communicate seamlessly. 

Just like webhooks, APIs help deliver the data you need, but with one key difference ~ you have to ask for it every time!

You may think of an API as a waiter at a restaurant. 

You place an order (a request), the waiter takes it to the kitchen (server), and then brings back your meal (a response). But here’s the catch: the waiter won’t bring you food unless you ask—you have to place a new order every time you want something. 

Similarly, APIs require you to send a request whenever you need updated information.

Let’s delve into how APIs work in a step-by-step manner;

• Your application shoots a request to a server.

• The server processes the request.

• The server reverts with a response with the requested data.

We will now try to understand this process with the help of a real-world application.

Ever used a food delivery app? When you check for restaurants nearby, the app sends a request to an API that retrieves restaurant data. Once you select a restaurant, the API fetches the menu. Every time you need new data, the app has to ask the API again.

This approach is great when you need on-demand information, but it can become inefficient if you constantly need fresh data.

What are webhooks? (The event-driven model)

Webhooks, unlike APIs, don’t wait for you to ask—they automatically send data the moment something important happens. Think of them like a pizza subscription—every Friday night, a fresh pizza lands at your doorstep without you having to call and order it.

Here’s a ready reference step-by-step guide on how webhooks work. 

• An event happens (e.g., a new order is placed).

• A webhook triggers automatically and sends the data.

• The receiving application processes the data in real-time.

That being said, let’s explore an example of a webhook in real life.

Let’s say you run an online store.

Whenever a customer places an order, a webhook automatically notifies your inventory system.

The inventory system updates itself instantly without waiting for someone to check manually.

At the same time, your email service sends an order confirmation to the customer—all happening behind the scenes, seamlessly.

Webhooks are perfect for situations where instant updates and automation are required.

But how do APIs and webhooks compare directly? Let’s take a look.

Pros & cons of APIs vs. webhooks

We will now explore the benefits and drawbacks of both API and webhooks.

Pros of APIs:

✔ You’re in control – APIs let you decide when and what data you need, so you’re not flooded with unnecessary information.

✔ More secure – Since data is only pulled when requested, there’s less risk of sending sensitive information at the wrong time.

✔ Reliable & predictable – If something goes wrong (like a slow server), you can retry the request and get your data when it’s available.

Cons of APIs:

✖ Not real-time – You have to keep checking in for updates instead of receiving them automatically.

✖ Can strain your server – Constant polling (checking for new data) can slow down performance if overused.

✖ More work to set up – You’ll need to write scheduled API calls to fetch updates, which adds complexity.

Pros of webhooks:

✔ Real-time updates – No need to check manually—you get data instantly as soon as something happens.

✔ More efficient – Since webhooks only send data when there’s an update, they reduce server load significantly.

✔ Perfect for automation – Do you want to automatically send Slack notifications when a new customer signs up? Webhooks are the way to go!

Cons of webhooks:

✖ Less control – You don’t really get to decide when data is sent—it just happens. If an update isn’t relevant, well, too bad!

✖ Debugging can be tough – If something breaks, you might not realize it right away since there’s no built-in request system as it is in the case of APIs.

✖ Security risks – If webhooks aren’t properly configured, they might end up sending data to the wrong places, exposing sensitive information.

So, which one should you choose? 

If you need full control and structured requests, APIs are the way to go. But if you want real-time automation with less server strain, webhooks are a smarter choice. It all depends on what works best for your use case!

When should you use an API vs. a webhook?

Still wondering which one is the right fit for you? Let’s break it down in simple terms:

Use an API if…

✅ You need to request data whenever you want (like checking stock prices on demand).

✅ You want two-way communication between applications, where both sides can send and receive data.

✅ You don’t need real-time updates but prefer reliability and control over when and how data is retrieved.

Go with webhooks if…

✅ You need instant updates without having to ask for them (like getting a notification the moment a payment goes through).

✅ You want to automate tasks between apps seamlessly.

✅ You’d rather reduce server load by eliminating constant requests and only receiving data when something changes.

But here’s the best part—you don’t have to pick just one! 

In fact, many modern applications use both APIs and webhooks together to get the best of both worlds. For example, an e-commerce platform might use an API to fetch product details when a user browses the store and a webhook to notify the admin instantly when an order is placed.

It all comes down to what works best for your use case!

The road ahead

While both APIs and webhooks have their own strengths and weaknesses, the right choice depends on your specific needs. If you need instant updates, webhooks are the way to go. If you need on-demand access to data, APIs are a better fit.

The good news? You don’t have to choose one over the other. Most modern apps use a mix of both for the best results.

If you have a WordPress-powered website and want to know how to use AI to build a smarter website, then you might want to read ~ AI in WordPress: The Ultimate Guide to Building Smarter Websites.