Textures and materials are two separate thing. Materials by default don't use an image for the texture (but they do support different flat colors); materials affect only how a model is rendered, doesn't actually have any texture; so you probably have to create a new material node and then provide a 2D image. Textures require UV unwrapping. Otherwise, it's just going to be garbled colors all over the thing. How I do it in Maya, I just create a material + texture, select faces, then right click and pick "assign material to selected" and boom, you too can give another eye to Daisy. Assuming the UVs are fine.