In order to improve the shrinkage properties and the diffraction efficiency of photopolymer material, a photopolymer doped with TiO2 nanoparticle is fabricated. Aparting from using methylene blue trihydrate as photosensitizer, this material is exposed at a wavelength of 647 nm. The experimental results show that the incorporation of TiO2 nanoparticle leads to a significant decrease of the shrinkage and the improvement of diffraction efficiency: the shrinkage is decreased from 3.2% to 2.4% and the diffraction efficiency is increased from 68% to 70.8% in the photopolymer contained with 36 nm TiO2 nanoparticle. However, when the photopolymer doped TiO2 with the size of 10 nm, there are only 0.8% of the shrinkage and the diffraction efficiency amount to 78.1%, which indicates that doped TiO2 nanoparticle with smaller size has more advantages in improving the holographic characteristics than that with the bigger size.