This will help them to not only recognize different colors but to also learn the names of the different colors. Developing these skills will help in later development too as your child begins to learn to read and write. He or she can then learn how to write the names of all of the different colors. You see learning is progressive and incremental - it happens in stages. Step-by-step as I have described. This is the true beauty of learning...the more that your child puts in, the more they will get out of learning. As their knowledge grows, so will their interest in a range of different subjects.
You can metaphorically take a page out of a coloring book, and break up the work into a few sections. Each team member or group within the team should first be instructed on which part of the page they are going to color, let them know what color they can use, and when their turn will come up. Next, after each team member has finished their part of the coloring than take the completed picture and hangs it up so that every one can see their part of the picture and the entire teams contribution.