Paraphrasing is the process of taking someone's work and substantially changing the grammar and wording while retaining the meaning. Paraphrasing shows that you understand the material you are referencing and it is a better way of impressing a lecturer than constantly using direct quotes.
It is ok to also use direct quotes when it may be difficult to express a particular idea in your own words but as much as possible you should try to paraphrase. Paraphrasing will also lower your similarity score compared with direct quotes.
Important: When you paraphrase someone's work you must still reference it!
See the below FAQ on how to paraphrase.