Subchannel data is the term given to the auxiliary data found primarily on multisession discs, which can be redbook audio, CD text, karaoke data, etc. The ability to read subchannel data is important in programs like CloneCD, where you're striving to make perfect CD copies.
For example, my Teac CD-R56S CD-R only works in SAO-RAW (session-at-once). One of the limitations of SAO is that not all subchannel data can be written. That is why you always want to look for a burner that can write in DAO-RAW (disc-at-once) if you plan on using CloneCD.