Organic traffic is termed as the traffic received through Search engines and Directories mainly. This can also include other non-paid source of traffic such as Guides and award sites.
From my own experience and understanding I just count Search engine traffic as organic and not directories or any referral sites. Purely because you plant your links in Directories and other referral sites (most of the time). Natural traffic from a referral site where your link has been featured because the author felt that your website carries some significance can also be Organic traffic.
If you look into Google Analytics stats then you will see many fields that mention the word organic. Take a look at this image:
There is also search / organic is for search.com traffic.
Here is a file that I found for Google analytics which explains what traffic source is what:
Not exactly what you would expect but a fair idea of what gets listed under your Google Analytics report right!
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