A (maybe obvious) suggestion:
To make the sort of app really fly it helps to make it so that the people viewing the produced images can't avoid knowing the image was produced by Colorify. For instance you could host the produced images on a Colorify site, so that people can see how it was produced (and learn more about the app). They then will be compelled to download the app and make their own images, which act as an advertisement to your app.
I agree with hammerdr above that more visual feedback to the user would be good. The part where the image is being converted to B&W would be a good place to start.
Our only advertisement is now is app link that appears on Facebook posts (as 'via') and a default message for empty tweets.
It is a nice idea anyway, thanks.
I'm not a Windows Phone user so I am a bit out of my element in terms of typical application design for the phone, but some sort feedback when a user is performing an action would make the app feel more responsive.
For example, when posting the picture to Facebook the application could show a spinner with the words "Posting to Facebook"
During my internship at Microsoft, I decided to create a Windows Phone 7 in my spare times.
Blurring is also a nice idea and there are lots of such filters. However we just wanted to focus on this for first version.