What is eCommerce Product Categorization?

ecommerce product categorization

What is eCommerce Product Categorization?

What is eCommerce Product Categorization?

Your eCommerce site exists to bring in new and repeat business.

The easier you make it for your market to find what they want and to see that what you offer is right for them, the more they will buy.

One element in achieving that goal is to use good and effective eCommerce product categorization which, simply, is a system for classifying and organizing products.

Good categorization systems are:

  • Comprehensive, so all products are included.
  • Logical, so researching, finding, and comparing products makes sense.
  • User-search oriented, so it all feels intuitive, smooth, and obvious.

How Do You Achieve Good eCommerce Product Categorization?

eCommerce product categorization has four main elements.

All elements must use words your buyers would expect to use, so they search successfully and easily.

Categories and Sub-Categories

The first element is the product category itself, then any sub-categories into which individual products may be divided.

This results in buyers only seeing what they expect to see when they search for, say, furniture, office equipment, or contractor tools. 

Sub-categories then divide the products within each category into logical groups.

Furniture, for example, may be subdivided into Home > Indoor > Lounge > Sofas > Adjustable, etc.


The next element is product attributes.

Attributes narrow down a user’s options, again making searches logical and intuitive.

A piece of furniture’s attributes may include brand, size, material used, colour, etc.

Categories and sub-categories are unique, but attributes, such as brand name may be linked to different product groups.


The final element is values.

Values further describe an attribute.

In this way, a buyer looking for a leather sofa can check out fawn, brown, black, etc. which are all values associated with the attribute “colour.”

The Importance of Effective Categorization

The whole purpose of product categorization is to make the buyer’s search experience easy, enjoyable, and successful.

When they easily find what they want they will buy from you and not your competitors.

Often, the more attributes your website offers, the more valuable it is to the buyer, and the longer they will dwell on your site to find exactly what they want.

Existing buyers who want to make another purchase will choose your site instead of either going to a competitor or beginning with a general search on Google.

Your site served them well before, so it only makes sense for them to revisit your site next time.

In addition to a buyer wanting to use and return to your site, they are also likely to leave positive reviews.

Frequent buyer-visits, longer dwell times, and long lists of reviews impact your SEO ranking, so when a first-time buyer does a generic search for a product, your site will rank higher than others, and the buyer is more likely to visit and buy.

Finally, Google’s and other web algorithms will more easily connect what your ad campaigns say to your preferred market.

This improves click-through rates and makes sure your products are being compared with similar competitor products.

If buyers visit your, and a competitor’s site, and find yours the easiest and most worthwhile to use, they stay and buy.

Improving Your Product Categorization

The whole point of categorizing your products well is to encourage sales.

The better you apply the elements (categories, sub-categories, attributes, and values) the better.

The best way to achieve this is with a firm plan of action based on what you sell and who you sell it to. Steps to take include:

  1. Know your ideal customers, what they look for, and how they shop.
  2. Use that customer knowledge to decide how best to categorize your products.
  3. Make exhaustive lists of produce attributes and values, so you know your site will include words your customers use in their searches.
  4. Check to make sure your competitors do not have useful search criteria that you do not have.
  5. Check that search engines make good use of your search items. If Google uses it, you use it.
  6. Use feed management software tools to make Steps 3-5 more easily doable.

The Takeaway: What is eCommerce Product Categorization?

When you apply proper product categorization you are going to give your buyers a great experience and you are going to satisfy search engines.

You will raise conversion rates and sell more products. If you would like to discuss eCommerce product categorization in detail and how we can help you, please just click here to contact us.

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Do you struggle to manage your product listings? Check out our eCommerce product listing services.

Prefer to speak with us and learn more about how we can help your business succeed online? Contact our full service eCommerce agency at your convenience, we’re looking forward to speaking with you!