Closed captions are subtitles on a separate track or file. This allows for many adjustments in the player. Such as disabling or enabling it, selecting multiple languages or even formatting the text font, color and size.
It’s definitely the best way to go when you’d like to add subtitles to your video. In Premiere Pro we have a great editor that allows us to put the text onto the right place.
Once we’re done we can use media encoder to export the video and the subtitles as two separate files. One of the more popular formats is a SRT format. You can test your subtitles easily with media player VLC.