What is the importance of Category and Tags Pages in SEO factor?
Usage of categories and tags in a website boosts your ranking. A web page that appears on its related category page indicates the greater relevancy level. Any page that is compiled with its closely related category gets more boost and higher rank when compared to the page which is filed as a part of unrelated or less related categories.
Let us consider an example :
If you own a shopping site and sell dresses for both women and men. Women wear different kinds of dresses like traditional wear, Kurtis, cholis,night suits etc. Instead of listing all products under women, you can create separate categories like traditional wears, night wears etc, and list the different kinds of traditional wears (silk saree, fancy saree...) inside that category.