Complex Shapes and Drips
If you're painting a flat, level surface, drips aren't a big concern. Imagine, though, a complex shape like the maze of steel tubing in a race car or motorcycle frame. You'll have to spray paint the tops, sides and bottoms, then hope the paint doesn't run. It's possible, but it's difficult. In this application, powdercoating far outshines spray paint. The base is electrostatically charged, so powdered medium and pigments don't hang from the base, they stick to it. They're then baked in an oven, liquifying slowly with far greater control over runs.
Durability
On this front, powdercoating is also the winner. The baked-on powdercoat can be extremely resistant to scratches and abrasions. Spray-on paints have improved in the durability department, particularly some of the industrial paints, but can't match the most durable powdercoat options.
Cost
Cost is a split decision, usually in favor of paint. Paint jobs can be expensive, but usually not the kind of paint jobs you'd also consider for powdercoating. Ruling out the body panels on your exotic car restoration, paint can usually deliver more for less. Some very strong epoxy-paints such as Imron aviation paint can be expensive, but don't require the overhead costs such as ovens used in powdercoating systems.
Moisture Proofing and Finish
There are two areas where paint surpasses powdercoating. Go to a classic car show and you'll see a lot of gorgeous paint jobs, not powdercoat jobs. Painters build up base layers of hue, then many layers of clear coat. The clear is then wet-sanded and polished to a mirror finish. High quality spray-on urethane finishes also come closer to waterproofing than powder-coat finishes. There are occasionally instances where powdercoat is applied as a base for its durability, then clear is sprayed on for its superior finish and superior water resistance.