Flip is different from EDIT mode. In Flip, you're basically recording performance actions in a macro for replay later, but it pretty much has to be recorded in realtime so you have to know what you're doing and when in order for proper "edits" to be made.
With the EDIT mode, it's like working in a very simplified DAW; as it's not realtime, you can take the opportunity to plan out the edit and make the necessary changes, whether it's repeating a segment or eliminating a portion of the song.
In addition, having the song rendered to a file also allows you to then export it for playback on a CDJ or other device, unlike a Flip, which requires you to be in Serato for that to function.
Please keep in mind that this is the first iteration of EDIT mode and we're certain to see improvements in it with future updates.
Thanks for your feedback.