From the left sidebar > Products > Categories then create a product category

Add New Category

You can add the Name, Slug, Parent category, and Upload image for the category.

• Name: Name for the category

• Slug: Unique slug for the tag. It is usually all lowercase and contains only letters, numbers, and hyphens.

• Parent category: Select parent category if available

• Description: You can add description if you want it prominent

• Display type: There are type as products, subcategories, both

• Thumbnail: Upload/ add thumbnail image

Then click Add new category button, result show bellow: