The agency beat competition from undisclosed agencies to secure the account, which is a joint venture between Boots and The Telegraph Group. The account was previously held by MindShare.
Handbag.com spends a negligible amount on above-the-line advertising with the rest going on online accounts, according to Nielsen Media Research figures.
Joshua is handbag.com's creative agency.
M2M has already started promoting handbag.com's fifth birthday next month and is also working on a pre-Christmas campaign for getlippy.com, its younger and edgier sister site.
Emma McLaughlin, the marketing manager of handbag.com, said: "The quality of all the pitches was very high but M2M clinched it with its insight into our target audience and the overall quality of its ideas."
Handbag.com has grown to become the biggest women's lifestyle website with 876,000 unique users, according to ABCe January 2004 figures.
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