3-Mercaptophenol is primarily used in the synthesis of various organic compounds, particularly in the production of pharmaceuticals and agrochemicals. Its thiol group makes it a valuable intermediate in creating molecules with specific biological activities. In the pharmaceutical industry, it is utilized to develop drugs that target oxidative stress and inflammation due to its antioxidant properties. Additionally, it serves as a building block in the synthesis of complex molecules used in medicinal chemistry.

In the field of materials science, 3-Mercaptophenol is employed in the modification of polymers and resins to enhance their properties, such as adhesion and durability. It is also used in the preparation of metal-organic frameworks (MOFs) and other advanced materials due to its ability to coordinate with metal ions. Furthermore, it finds application in the production of specialty chemicals, including dyes and fragrances, where its unique structure contributes to the desired characteristics of the final product.