Don't know if you are checking back. I have a ds that is 17 months. When he was born I had problems on one nipple that preceded my pregnancy. Early on I ended up with the same thing as you are describing, I think. If a nipple were a raspberry, a big chunks of those round buds were gone, so there was like a big hole.
I did go in to my ob's office and saw one of the nurse practioners in the first month or so (had a midwife for birth, but ob's office worked the nipple problem before pregnancy). The nurse practioner said breasts and nipples can look all sorts of ways when nursing...
I continued nursing and took ipuprofen for pain. I choose not to put anything on my nipples (I am vegan so no lanolin). The wound did heal with a normal scar, slightly faded and not like the raspberry buds. I still nurse successfully on both sides. From what I understand now those wounds come from "trauma" ie an eager baby learning latch when newborn. My two cents, take some kind of pain relief (ibuprofen or what is recommended by your health care provider) and settle in. This too will pass!
HW (44) DS (7) DD (4)
*free from a false DH*