Twitter this week rolled out new ad features and revamped the algorithm that decides which ads users see, as part of an effort to lay the groundwork to launch future e-commerce features, the social networking company said.

The new features come as Twitter is pushing to grow its performance advertising business, a strategy that aims to quickly generate sales, and constituted just 15% of the social media platform’s business last year. The effort could help Twitter reach its goal of doubling annual revenue by 2023...