Collect the dyes hidden in Murgo's magical items, or see another Hero do so.
Snow Globe Dyes:
It is at the end of the path as you pass the schoolhouse. Available after you free the snowglobe of the curse.
In the windmill next to the house by the wheat field.
In the shadow court in the hallway. As soon as you come to the first room with shadows. Go down the path with the gated entrance, it will be right there. Available after you free the snowglobe of the curse.
Gory Glory Red:
After clearing the snowglobe of its curse, inspect the house in the wheat field on the way back to the mission exit. Look at the clock inside to find a flit switch. It will lead you to another flit, which in turn leads to a chest with a note. Go to the house where the note instructs It is The is first house on the left as you enter from the first gated area you open to proceed into the village. You will notice a sign in front of it. From there you will find another note on the table. after picking it up go to the mirror upstairs and activate it with the A button. The dye is on the other side.
In the well after you dive under water into the second area. Make your way until you see a side room filled with knights armor. It's on the raised platform to your right. Available after you free the snowglobe of the curse.
Cursed Skull Dyes
Directly across from where you pick up the hollow man costume. It's in the first tomb behind, the door, in a sarcophagus.
In the sarcophagus from where you free the first group of wisps.
Just before you grab the Hobbes costume turn to the left and look for a space to jump down, it's right there.
In the treasure chest in the Last Beacon of Hope inside the cursed skull. It is down the path on the way to the swamp area. Just before you reach the water you will see an archway to your right take that path until you reach the gate. Use your Hobbe costume to interact with it. Then use the costume to control the other Hobbe statues to help you with the Flit switch puzzle. After that head to the open area with all the statues of heroes, using the corresponding expression on the statue by the gate to start a fight. Kill the statues and then go through the portal. the dye is on the other side.
Strawberry Blonde Hair Dye:
First you need the Wizardly Bear to get him walk along the side of arena when out of combat and over to a telescope on a dais(stand). Read the inscription then turn around and face the moon. Start firing your gun at the gargoyle statues underneath the moon.One of them will release the bear right into your inventory.
The King Bear is behind a locked door next to two unlit candle holders. Light them up with a fireball to unlock the door and claim the bear.
The Captian Bear is the hardest of the group. You need to score exactly 1985 in Colosseum points to unlock him. The easiest way to do this is to make sure you do not pick up any multiplier flits or kick any chickens. Kill all enemies until you reach the point where only bandits are spawning. Now kill all non-bandits, and save your game.If you happen to mess up you can quit without saving, reload, and start again. Start fighting the bandits and when you manage to get an 85 as your last two digits stop killing them and take a step back.
Now the strategy comes in. The large bandits are worth 30 points each, the medium size ones are 25. Avoid hitting the easiest bandits as they will mess up your score . Now just simply pick off these bandits until you hit the magic number, remembering to kill them in multiples of 100(4x25= 100/30x5+25x2=200). You can also use the multiplier flit now and double all these values, as well as use the chicken kick for a 100 or 200( if using one flit multiplier) point boost. A great tip is to also use your slow time spell so you can take your time and aim carefully. Once you hit 1985 you will see a message come up saying you unlocked the bear. After this you can kill as many other creatures as you like, it will not effect you getting it. After the battle is over pick the bear up on the dais(stand) that was empty before. It is directly across from the one with the telescope on it. Upon picking up the bear you receive your last dye,and the AAA Teddy.
Thanks to ImpendIn_Agony for posting this Dye Guide