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How big is the blister? how long has it been there for?
This sounds very much like a folliculitis and not so much like a case of genital herpes (that tends to be the thing most people are worried about). Folliculitis is often a local infection of a small hair follicle... it looks different than a pimple and can fit your description quite well. There is no specific treatment for it -- it is in a very sensitive area so it can hurt. Now, if you start to have groups of these come up in the same area, that would be a bit more suspicious for herpes. For now I would recommend simply keeping the area clean... neosporin cream certainly could not hurt. It should resolve within a week (if the infection is more superficial maybe only a few days)
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That should work just fine =)
~ Dr. AJ