Thank you for asking query.

This appears to be Irritant Dermatitis of the penis, which is nothing but skin reaction caused by friction or irritant substances. There is no reason to suspect any fungal or bacterial infection as of now .
So I would recommend you to use loose fitting undergarments for a week. Do not use harsh soap or any lotion over the area. Just wash daily with normal water and mild soap occasionally. Give it time to heal by itself.

Incase the lesion is persisting beyond 10 days you may need to visit a Dermatologist or GP.

Hope this helps

Hello,

Thank you for your followup question :

The first possibility here would be candidal balanoposthitis. This is a kind of fungal infection and its easily curable. A scraping study using 10% KOH may be helpful for diagnosis. Also blood sugar estimation may be done.You might need appropriate topical(1%clotrimazole) or systemic antifungals(eg.fluconazole).Also enquiry about partner symptoms and partner treatment may be required.Good personal hygiene ,cleansing with warm water,avoidance of soaps and detergents is be advised.Only if it does not respond to the above, we may have to consider other possibilities.

Hope this helps.

Please feel free to ask any followup questions.

Thank you