What structured data is
Structured data is machine-readable markup that describes the content of a page. It uses the Schema.org vocabulary — a shared, search-engine-supported set of types and properties (Article, Product, Recipe, LocalBusiness, etc.) — and is typically embedded as JSON-LD in a script tag in the page head.
JSON-LD is Google's recommended format. Microdata and RDFa are also supported but harder to maintain. Stick to JSON-LD unless you have a strong reason not to.