there are also ready made patches that you could put on it. some say iron-on, you could try that if it doesn't stick then try sewing them on.
http://www.amazon.com/s/?ie=UTF8&keyword...
http://www.patchworkpandatrims.com/servl...
you can take giant safety pins and string your old earrings... you know, the ones you only have one of... on it and pin it to the pack.
add some cool zipper pulls.
https://www.google.com/search?q=zipper+p...
You could work on it with marker pens and/or cut designs from different colored pieces of cloth and use fabric glue to attach them. You can purchase fabric glue at any cloth shop, hobby store or even some Walmarts and super markets.
I have to use this old backpack by jansport and it's really boring.( mine has brown zippers though and it's kind of washed out. ) It's SO boring! And it kind of looks like it's for a little kid. :( I don't have very many pins. Only a couple disneyland ones. (Canadian Mickey Mouse ears and a lot of Cinderella ones. Yeah, I'm not putting Cinderella all over my backpack. :/ ) thanks!