Should I Use Sub Domains For The Silo Sub Niches Or Just A Category Sub Folder?

In episode 158 of our weekly Hump Day Hangouts, one viewer asked whether one should use sub domains for the silo sub niches or just a category sub folder.

The exact question was:

Hi guys, quick site structure question. I am building out an authority site for affiliate business. I want to add a collection of sub niches and setup silos for them. Question is, should I use sub domains for the silo sub niches or should I just use a category sub folder? i.e. http://ift.tt/2knopnc or http://ift.tt/2BMJZWf? Thanks in advance for any help.

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