Raw edge machine applique is just that, no turned edges, just the raw edge and then sewed with a machine stitch of your choice. Blanket stitch looks nice on a simple design. If I do raw edge I use a fusible web to adhere it to my fabric; also helps to keep if from fraying. This is a huge topic to deal with here. I am lazy and do my applique on the embroidery machine. Some people are purists and would only do applique by hand with the needle-turn method. Alex Anderson has a great book about applique. It is called "Alex Anderson's Hand & Machine Applique". Very concise and informative.

I disliked all the traditional applique methods - needle turn, freezer paper, raw edge etc.
A good friend and great appliquer taught me a new and very easy way.
I'm not the world's best instructor so bear with me.
Use non-fusible web.
Trace your design on it.
Cut it out leaving a large seam.
Place on the right side of a large enough piece of your fabric.
Sew on the line you made on the non-fusible web. If you do this by hand, make tiny stitches.
Trim to 1/8th or 1/4" around the design
Make a slit in the web and turn it so the right side of the fabric now shows.
Use an orange stick or something like that not too sharp to even out the fabric
Iron flat on the fabric side
Ready now to applique to whatever surface you're using.
The method is best with curves and smooth edges, not so hot with points.