Chessbase is the premier database management tool that almost every titled player uses. Fritz also includes a database but it's more of an analysis tool and engine to play against. The difference in cost should give you a clue as to how powerful each is. For class players, Fritz is fine. It's also very easy to switch other engines in. Not the most intuitive program but Chessbase is even harder. I use HIARCS. Ported over from the Apple family, it's refreshingly easy to use. Your mileage may vary.
Chessbase VS Fritz
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What's the difference? I am thinking about investing into a newer/better piece of chess software and am a bit confused about what each one does.