There are two major types of silo structure; virtual and folder or directory silos.
Virtual silos leave all the pages in their current location on the web server, but create an inter-linking structure that links pages on a similar theme together. So, for example, all your pages would be in the root directory of your Web site and when someone clicks on a link to go to another page that second page will also be in the root directory.
Folder or directory silos use the same inter-linking strategy as virtual silos, but take it a step further by putting pages on the same theme in an appropriately named folder or directory.
So all the sports car pages might be found in a folder called:
and all the pages relating to compact cars will be in a folder named:
Unless you have a good reason for going with virtual silos (e.g. it’s not possible to create folders on your web space) it is usually preferable to go with proper directory siloing.