
duften
to smell fragrant
To give off a pleasant, fragrant smell.
Im Frühling duften die Blumen im ganzen Garten.
In spring, the flowers smell fragrant throughout the whole garden.
to smell fragrant / be great
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to smell fragrant
To give off a pleasant, fragrant smell.
Im Frühling duften die Blumen im ganzen Garten.
In spring, the flowers smell fragrant throughout the whole garden.

great
Colloquial for being great, excellent, or super. Often considered somewhat dated.
Die Idee finde ich dufte!
I think the idea is great!
The verb 'duften' (to smell fragrant) is directly related to the noun 'der Duft' (a pleasant smell/fragrance). When something 'duftet' (smells fragrant), it gives off a 'Duft' (fragrance).
Der Duft von frisch gebackenem Brot ist herrlich.
The smell of freshly baked bread is wonderful.
To describe what something smells like, you use the preposition 'nach' followed by the dative. The structure is: Etwas duftet nach etwas (something smells of/like something).
Die Seife duftet nach Lavendel.
The soap smells like lavender.
The meaning 'großartig' (great) or 'super' is colloquial and is used rather rarely today. It can sound a bit old-fashioned, but it is still sometimes used ironically.
Ein Ausflug ans Meer? Das finde ich eine dufte Idee!
A trip to the sea? I think that's a great idea!
You can easily distinguish the two meanings: if the subject is something that can have a smell, such as food or flowers, the meaning is about scent. If the subject is a person, idea, or thing being evaluated, the colloquial meaning 'toll' (great) is meant.
Der Kuchen in der Küche duftet wunderbar.
The cake in the kitchen smells wonderful.
to smell
Riechen and duften can both describe a smell that is perceived or that comes from something. Riechen does not initially evaluate the smell. Duften, by contrast, shows that the smell is perceived as pleasant and fragrant.

Der Kaffee duftet durch die ganze Küche.
The coffee’s fragrance fills the entire kitchen.
Der Kaffee riecht nach frisch gemahlenen Bohnen.
The coffee smells of freshly ground beans.