For the agency, which won the business in a three-way pitch, the win fills a gap in its portfolio left by Skytours, part of Thomson, whose parent, TUI, is looking for a single European agency.
The agency claims the account is worth £3 million. TV Travel Shop spent £1 million above the line last year.
TV Travel Shop allows customers to see holiday destinations and hotel rooms before booking. The programmes are distributed by satellite, cable and digital TV and are broadcast seven days a week.
Its new initiative will involve a major TV sponsorship deal on New Year's Eve and New Year's Day and a new TV ad, which will run throughout January and again in May to catch late bookers. Media buying is being handled by Equinox Communications.