Hello,
Firstly, to edit the Menus appearing in the Header you can navigate to the Dashboard > Appearance > Menus > there you can select the Menu to which you want to edit (and we are assuming you’d know this already).
Further, to have the Menu like you mentioned that is called the Categories Menu. For that you need to go to the Dashboard > WoodMart > Header Builder > there edit your current Header Layout > in that Header Layout you need to add the Categories element > in that element you need to select your choice of Menu > after selecting the Menu, under the element you will find an option Open on mouse event > in that you can select Click or Hover as per your choice and you will get the Menu like you want: https://snipboard.io/oPhNpn.jpg
Further, regarding the Menus guide under the Theme you can check out the following Documentation links:
https://xtemos.com/docs-topic/product-category-menu/
https://xtemos.com/docs-topic/adding-menu-to-the-site/
Hope this helps !
Best Regards