Most people don't know the difference.
Indeed. And the same goes for Kashrus.
I'm not comparing. Kfar Chabad Esrogim are Kosher Lechatchila and are Mehudar (obviously depends on the individual Esrog, but as far as the breed and no חשש הרכבה, they are as good as it gets). But unfortunately the
business of yiddishkeit is rife with people who take advantage of עולם גולם - the vast ignorance that exists, and uses fancy buzz words (like Badatz, Mehadrin, etc.) to make something sound special, when there's nothing special (or specially good) about it.