A taxonomy is a classification system that can be used to identify and structure information so it is easy for a consumer to find. For example, a retailer may use a taxonomy for products it is selling online. This taxonomy is likely to include codes and labels that uniquely identify each product and provide information about the products, such as short descriptions, expected delivery times and references to physical shops where the products are available. The retailer is also likely to classify products by category, size, colour and price range. This taxonomy would allow online shoppers to quickly find, review and select specific products. Shoppers would be able to spend their time reviewing products rather than sifting through information.
Taxonomies are also used to allow information to be tagged and exchanged in a structured electronic format so that it can be accessed quickly and processed cost-effectively by the intended recipient of that information. For example, a shopper can place an online order by selecting a specific product. The retailer can automatically process the shopper’s selection using the underlying computer code of that product.