Shopify Guides

How Do I Add Product Categories in Shopify? A Comprehensive Guide

September 25, 2025
How Do I Add Product Categories in Shopify? A Comprehensive Guide

Table of Contents

  1. Understanding Product Categories in Shopify
  2. Planning Your Product Categories
  3. Step-by-Step Guide: How to Add Product Categories in Shopify
  4. Optimizing Product Categories for Conversions
  5. Conclusion
  6. FAQs About Adding Product Categories in Shopify

Navigating an online store can sometimes feel like traversing a labyrinth. Have you ever found yourself aimlessly searching through product pages, feeling frustrated by the endless scrolling? If that sounds familiar, you’re not alone — many potential customers abandon their shopping carts due to poor navigation. In fact, recent studies suggest that up to 35% of eCommerce sales can be lost due to a subpar user experience, emphasizing the critical importance of effective online organization.

At ShipAid, we understand that every package matters, but so does the path customers take to find those packages. Our mission is to empower eCommerce merchants to provide seamless shopping experiences that boost customer trust and, inherently, revenue. One foundational aspect of achieving this is through effective product categorization on platforms like Shopify.

In this blog post, we’ll explore the answer to the question: How do I add product categories in Shopify? We will provide a step-by-step guide to help you categorize your products effectively, enhancing your customers' shopping experience and ultimately increasing your conversions.

Understanding Product Categories in Shopify

Before diving into the technical steps, let’s first clarify what product categories are and why they are essential. In Shopify, product categories can be broadly referred to as collections. However, it's important to differentiate between product categories (which help with inventory management) and website categories (which improve customer navigation).

What Are Product Categories?

Product categories serve as organizational tools that help merchants define how their products are grouped for customers. These categorizations help customers find what they are looking for quickly and easily.

Some key benefits of effective product categorization include:

  • Enhanced User Experience: Properly categorized products ensure customers can navigate your store smoothly, which encourages retention and satisfaction.
  • Improved SEO: Using relevant keywords in your category names and descriptions can help enhance search visibility, inviting more traffic to your store.
  • Simplified Inventory Management: With organized categories, tracking inventory becomes more efficient, ensuring you always know what stock you have on hand.

In essence, product categories are the foundation for a user-friendly webshop where your customers know exactly how to find what they want — just like signs that guide shoppers in a physical store.

Planning Your Product Categories

Now that we grasp what product categories are, how can we create a logical structure in our Shopify store? The planning stage is crucial, as it sets the tone for the rest of your categorization efforts.

Step 1: Create an Inventory List

Begin with compiling a comprehensive list of all the products you intend to sell. You can use a spreadsheet to include pertinent details such as:

  • Product Name
  • Description
  • Pricing
  • Quantity

This structure allows you to have a clear view of your merchandise, making it easier to identify similarities that can guide your categorization process.

Step 2: Group Products by Similarities

Think about how you can group these products based on shared qualities such as:

  • Product Type: For instance, grouping all electronics together.
  • Brand: If you carry multiple brands, consider creating categories based on these.
  • Seasonality: Seasonal items like winter clothing can be grouped separately.

Step 3: Consider Customer Perspective

Put yourself in your customers’ shoes. What would they naturally look for? Where would they expect to find different types of products? This type of customer-centric thinking can help you create a more intuitive navigation structure.

Step 4: Aim for Simplicity

Your categories should be clear and straightforward. Aim to establish a hierarchy that is logical and user-friendly. Avoid creating an overwhelming number of categories that might confuse customers and hinder their decision-making process.

By taking the time to plan your categories effectively, you lay the groundwork for a Shopify store that not only appeals to customers but also reflects a polished, professional brand presence.

Step-by-Step Guide: How to Add Product Categories in Shopify

Now that we’ve laid the groundwork, let’s dive into the technical steps of adding product categories, or collections, in Shopify.

Part 1: Creating Collections in Shopify

Step 1: Log into Your Shopify Admin Panel

Simply navigate to your Shopify admin dashboard.

Step 2: Navigate to ‘Products’

On the left sidebar of your admin dashboard, click on the "Products" tab.

Step 3: Click on ‘Collections’

Under the Products tab, you will see the option for "Collections." Click to access this section.

Step 4: Create a New Collection

Select the “Create Collection” button. You’ll be prompted to choose between automated or manual collections.

  • Automated Collections: Let Shopify sort products automatically based on set conditions (like tags or product types).
  • Manual Collections: You will add products to the collection manually.

Step 5: Add Details to Your Collection

Regardless of the collection type, you need to fill in:

  • Collection Type: Choose between Automated or Manual.
  • Title and Description: Make sure this is descriptive and keyword-rich to aid SEO.

Step 6: Set Conditions (if Automated)

If opting for an automated collection, define the conditions that will automatically include products in this collection. For example, you could set conditions for a “Summer Dresses” collection where the product type equals “Dress.”

Step 7: Add Products (if Manual)

For manual collections, click on the "Add Products" button to select which products will be included.

Step 8: Save and Preview

Always save your collection and then preview it to understand how it will appear to customers in your online store.

Part 2: Setting Up Your Categories in Navigation

Step 1: Go to the Navigation Section

While still logged into your Shopify admin, go to the "Online Store" tab and select "Navigation."

Step 2: Choose the Menu to Edit

You’ll typically have a main menu and a footer menu. Click on the title of the main menu to make edits.

Step 3: Add a New Menu Item

Look for an "Add Menu Item" button and click on it.

Step 4: Name Your Menu Item

This is the label that will appear in your navigation menu, such as "Shop by Category" or "Apparel."

Step 5: Link the Menu Item to a Collection

Again, in the same dialog box, you will find a "Link" field. Navigate to "Collections" and select the appropriate category you want to link.

Step 6: Add Nested Menu Items (Optional)

If you want to create dropdown menus under your main category, repeat adding menu items and simply nest them under the desired parent category.

Step 7: Save Your Changes

Don't forget to click the "Save" button after making your changes.

Step 8: Preview Your Store

Preview how the navigation looks and functions. Adjust as necessary to ensure efficiency.

Optimizing Product Categories for Conversions

With your categories set up, it's crucial to go a step further and enhance them for maximum effectiveness.

Use Descriptive, SEO-Friendly Titles and Descriptions

  • Make sure your category titles and descriptions are rich with keywords that are relevant to your products. For instance, instead of a vague title like "Items," opt for something more informative like "Eco-Friendly Kitchen Supplies."

Leverage High-Quality Imagery

  • The visuals of your category pages can significantly influence user engagement. Utilize appealing images to provide a glimpse of what customers can expect in each category.

Simplify Navigation with Subcategories

  • For larger inventories, introducing subcategories can greatly enhance the user experience. For example, under a broad category like "Electronics," you may want to have subcategories such as "Mobile Phones," "Laptops," and “Accessories.”

Limit the Number of Categories and Subcategories

  • Too many options can overwhelm customers. Strive for a balance by keeping a limited number of categories and subcategories to promote clarity.

Highlight Featured Products

  • Strategically display popular or promotional products within each category to capture customer attention and drive sales through focused offerings.

Conclusion

Adding product categories in Shopify is not merely a technical task, but rather a strategic endeavor that can greatly influence a customer's shopping experience. With the right approach to organization and optimization, we can create an intuitive navigation system that leads to increased customer satisfaction and conversions.

As eCommerce merchants ourselves, we recognize the value of streamlining customers' purchasing journeys. Exploring additional tools, such as our interactive demo at ShipAid, can enhance your understanding of how robust shipping protection contributes to overall customer satisfaction.

FAQs About Adding Product Categories in Shopify

How can I create categories and subcategories in Shopify? To create categories, simply navigate to the "Products" section in your Shopify admin, choose a product, and add it to a collection or category. For subcategories, use the same method but nest them under a broader main category in your navigation settings.

What’s the difference between a category and a collection in Shopify? Categories (or web categories) are for navigation purposes, helping customers find products easily, while collections are for inventory organization, helping Shopify manage product data behind the scenes.

Can I bulk edit categories for multiple products? Yes, you can select multiple products, choose the bulk edit option, and make changes to their categories in one go, simplifying the process significantly.

How often should I revisit my product categories? Regularly reassessing your categories, especially during seasonal changes or when introducing new products, is crucial for maintaining an organized inventory and an efficient shopping experience.

What can I do if my categories aren’t converting? Evaluate the effectiveness of your category names, descriptions, and imagery. Test different arrangements or consider customer feedback to improve usability and engagement.

By leveraging quality product categorization, we not only pave the way for seamless customer experiences but also drive our eCommerce success stories. Together, we can enhance eCommerce effectiveness, ensuring that every package, and every customer journey, counts.


Participation is optional and ShipAid is not insurance. It does not provide indemnification for loss, damage, or liability. Instead, it allows brands to offer a free replacement if an item is not delivered or arrives in unsatisfactory condition. ShipAid does not sell or ship products, but provides tools for brands to manage replacements. All resolution decisions are made by the brand and may require proof of damage or non-delivery or other information

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