It's a week later, so I'm thinking that things must have progressed a bit. How does the nipple look with the scab off? Does it still look discolored and weird?
Sometimes, physical stress or disturbance will cause a scab to start peeling before it is ready (and, okay, people often help that along by picking at the scab, but I don't know whether you have done that), and the tissue underneath looks ugly because you're seeing it before you're supposed to. Also, a small infection or a little gooey buildup can make the wound look completely horrible.
Hard to tell without pictures, and I have no medical training whatsoever. But my general rule is, if you're worried, see the doctor ASAP. So I'm hoping that either you got in to see him/her or the wound started to look better.