Columnar databases store data by column rather than by row. This allows for more efficient reading and writing to disk storage, speeding up query returns. Columnar databases are particularly useful for data analytics and warehousing. They store each column of data together, rather than keeping all columns of a record in a single row. Benefits include improved performance for data analytics, business intelligence, and warehousing applications due to their structure and compression abilities. However, they are not as well suited as traditional row-oriented databases for incremental data loading or online transaction processing due to different design priorities.