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Similar to differences between senior strategist and strat director—more responsibility, higher level clients, people leadership.
One more notch on the superb ego trip those folks are on.
One directs the work and the other supervises the implementation.
In my experience, there’s less differentiation than there used to be due to smaller budget/account teams often being less “stacked” in a hierarchical order than they used to be. I’m oftentimes over in the weeds on super tactical stuff that historically wouldn’t be an account director’s “job” (which is fine, I know other departments have a similar issue too).
But when I moved to AD I was overseeing more people, and more responsible for the overall strategy and health of the client (financials, relationships) than the minutiae of day-to-day projects, which is where a supervisor would lean in more to manage those more tactical things.