Tagging can increase your blog’s traffic since some site like Technorati use tagging to determine each pinged post’s category in their site. Since there are a lot of user surfing technorati everyday looking for latest blog’s entry submission, tagging your post with Technorati tags will help you increase your blog visibality in the blogospehere there. Confused? below is the screenshot of tagging in action.
The tags are usually displayed in bottom of the post. You may opt not to display it. Technorati has explained depthly about tags and tagging in this page.
One plugin that I recommend you to try for post taggin is Ultimate Tag Warrior.The plugin is designed for WordPress sites to increase the possibilities and functions for tagging posts and expanding site navigation through the creation of lists of tags.
Download Ultimate Tag Warrior Wordpress Plugin (tutorial included)