Newborn baby boy has diaper rash?

My one week old baby boy has a diaper rash. I feel so bad. We change his diaper at least every 30 minutes because he poops so much. I think it may have started from wipes. When i was in the hospital i they gave me dry wipes that you wet with water, and once i came home i started using pampers wipes. I have since started using a washcloth with water, but it doesn't seem to be helping. We make sure his bum is completely dry before putting another diaper on him, and have even started using a hair dryer set on cool, which he seems to love. Calms him down instantly. I have been using Penaten cream. I have done tones of diaper rash research on the web but everything says something different. I have been putting his bum under a running tap to ensure it's cleaned well. I can't stop thinking about it, it makes me sad every time I see it. It doesn't seem to be bothering him much, he isn't crying constantly, and he eats and sleeps great. I just don't want it to get any worse. Any tips? Please?