A knitted component comprising two yarns, forming at least a heel region of an upper for an article of footwear, where one of the yarns comprises a thermoplastic material. The outer surface may include a fused area comprising a first thermoplastic yarn. The inner surface may be at least partially formed with a second yarn and may substantially exclude the thermoplastic material. There may be a transitional area including a reduced amount of thermoplastic material relative to a fused area. The knitted component may include a cushioning material between layers of the knit element.