How do you group or categorize your images in a web project?

For dynamic image content, I prefer organizing them in sub folders that are logically separate "things" (products, categories, users, etc).

If the amount of images in a folder is high, I create some sub folders starting named after the first character of the image name - just to make it more readable for myself.

So, Media/Categories Media/Products/H/headphones.png Media/Products/K/Keyboards.png

For design/styling images/logos/thumbs, I normally dump them in one or more folders (again grouped by purpose).