Product Types are the differentiation of products from each other
Here are the steps in making product types
Step 1
Click on the catalogue administration
Step 2

After clicking the system administration a box will appear filled with 4 tabs, click on Product Types
Step3
Click the add product type button
Step 4

Type in the product type that you want, then click "allow variants to have images" and "allow product types to have option types"
"Allow vaniants to have images" gives a way for variants of a product to have its own image, and "allow product types to have option types" gives products its own properties or specs which is the option type
Then click next
Step 5

After clicking next, you will be sent to this page, this page allows you to pick option types to your product types
By clicking and dragging, then after that click create product type
Step 6

After you've clicked the create product type, you will be re directed to the product type list wherein you can see the list of product types