Sound like she has some good quilting skills, even some that you haven't mastered. How about a trade of skills - you help me with my FMQ, etc. and I help you with "new" color selections that I've learned. You're not telling her choices are lousy, rather you have some current choices to share with her.
On the other hand, has anyone, except you, complained about her color choices - maybe there's nothing wrong with her selections, theyre just not to your liking. I think I'd try the "trade a technique" approach if she really a good friend - otherwise she's appparently happy, leave her alone.
hmmmm......