Yeah, I do this too. Folders works pretty well in both Gmail Web and IMAP, but I don't do sub-labels, I just jam them all into folders for Commerce, Friends ( one folder per City), Interests, Family (One folder for each closest relative, so stuff from my Mom's sister goes in the Mom folder.)
I use Thunderbird a lot, so Archive is an anti-pattern (I believe it removes all tags from an email, leaving it only in All Mail. I have All Mail turned off in IMAP because it makes a second copy of everything, which is bad in a 20+ year old mail archive.)
I use Thunderbird a lot, so Archive is an anti-pattern (I believe it removes all tags from an email, leaving it only in All Mail. I have All Mail turned off in IMAP because it makes a second copy of everything, which is bad in a 20+ year old mail archive.)