What forms the foundation for grouping materials into categories?

According to the type of material they are made of, we divide all objects into four groups: Those made of wood, those made of metal, those made of glass, and those made of plastic. Objects are also categorized according to characteristics like lustre, hardness, transparency, solubility, buoyancy, magnetism, heat conduction, and electricity conduction. Therefore, materials are categorized by similarities and differences in their properties.