How To Categorize Your Products Well

                                        
Consumers want a sense of direction when they are shopping and they want to see their choices well organized together. Organizing these products into categories helps consumers find what they are looking for quickly and easily. 
 
Product categorization is a perfect way to streamline the shopping process and optimize the consumer experience. Let’s take a look at everything you need to know about product categorization. 
 
 
What is product categorization?
 
Product categorization is simply how one breaks products down into intuitive categories and subcategories. It is an important part of the consumer experience, streamlining business processes and following product regulations.  
 
Steps to categorize your products well
 
If you want to organize and categorize your store’s products, here are the steps that you should follow:
 
1. Collect essential product data
 
You cannot fill the shelves of your store in an effective way unless you have a comprehensive understanding of your products. To categorize all products in your store, you first need to collect essential product data. 
 
Product data includes any information that can be used to categorize your products, such as color, size, material, and any other information from which to source this data. 
 
 
2. Create product categories
 
Once you have all your product data lined up, it is time to create product categories. 
 
For example, you can divide your product categories based on product attributes, product functions, and more. 
 
After that, create clear and easy-to-understand titles for your product categories. Avoid being too specific that you end up with an excessive number of product categories. 
 
 
3. Based on customer behavior
 
By gaining insights into your customer’s behavior, you will have a better understanding of the best experience for them. 
 
This will also ensure your store always remains well organized, timely, and relevant while keeping your future sales high and intact. 
 
 
4. Adjust & rearrange product categories
 
Nothing is written in stone, and so are your product categories. As you add new arrivals to your store, or when some product categories start turning into your best sellers, it is always necessary to adjust and rearrange your product categories. 
 
However, don’t overhaul your product categories too often as it also might confuse your customers. 
 
 
5. Building a category tree
 
Now that you’ve categorized your products, you may feel that some of your products share more specific attributes than others. A good way to keep your categories clear and tidy is to further divide them into subcategories to build a category tree. 
 
Your first-level categories are like the aisles in a store, the second-level categories are like the shelves while the third-level categories are just further subdivisions. 
 
This practice will not only make it more clear and more concise but will also help improve sales.