Miller's algorithm maps two points in a elliptic curve into a element of a finite field. So, if you have a point $P$ and a point $Q$, then Miller's algorithm (which we'll denote $e$) will compute some value $r \leftarrow e(P, Q)$, where $r$ is a finite field element.
Recall that points can be added (e.g. $T \leftarrow P + Q$) and multiplied by a integer (e.g. $T \leftarrow kP$, which is just repeated addition), while finite field elements can be multiplied (e.g. $t \leftarrow pq$) and raised to the power of an integer (e.g. $t \leftarrow p^k$, which is just repeated multiplication).
The crucial property of Miller's algorithm is bilinearity. Assume that you have points $P$ and $Q$ and integers $a$ and $b$, and compute the points $R \leftarrow aP$ and $S \leftarrow bQ$. Then, if you compute Miller's algorithm for $P$ and $Q$:
$x \leftarrow e(P, Q)$
and for $R$ and $S$:
$y \leftarrow e(R, S) = e(aP, bQ)$,
then these values will be related with:
$y = x^{ab}$.
In other words, bilinearity means that:
$e(aP, bQ) = e(P,Q)^{ab}$.
The bilinearity property allows the construction of cryptographic protocols which were not possible before or too complicated: identity-based cryptography, short signatures, non-interactive key agreement, and so on.