@michael He's talking about just having FX categories as a base sorting option, based on the 'tags' that are already applied within the VST3 .dll for the vast majority of plugins:
Which would be extremely useful. What you're saying works as well of course, but only if you take a very long time to sort through all your plugins manually and create a comprehensible folder structure for browsing them (something nearly all pros should be doing anyway, but probably not a priority for hobbyists).
You can also kinda sort by FX category by including the word (delay, reverb, distortion, etc.) -- but you can't combine it with other tags or sort it by vendor which makes it kinda useless.
We need an overhauled browser honestly, with more of an emphasis on tags and custom tag creation and assignment, and legit boolean search operators (and/or/exclude, etc.) and multi-select of the various tags.
The browser in Omnisphere would be a great template for what an excellent plugin browser in S1 could look like.