"Blue (Da Ba Dee)" was developed before the formation of the group by its future members Jeffrey Jey (Gianfranco Randone), Maurizio Lobina and Gabry Ponte and producer Massimo Gabutti, while working at Bliss Corporation in Turin.

The colour blue as the main theme of the song was picked at random, with Lobina telling him to write nonsensical lyrics.

[8] "Blue (Da Ba Dee)" is written in the key of G minor, with the vocal range spanning from C3 to E♭4,[9] and is set in common time with a moderate tempo of 128 beats per minute.

Chuck Taylor from Billboard wrote that "the hook here, with its dancy but curiously compelling singsongy rhythm and lyric, is destined to react instantly with listeners far and wide."

[17] Rolling Stone, however, in their review of Europop, gave the song a negative review, commenting that the song "blends Cher-esque vocoder vocals, trance-like synth riffs, unabashed Eurodisco beats and a baby-babble chorus so infantile it makes the Teletubbies sound like Shakespeare."

It then found success in other European countries, reaching the top spot on many charts in September the same year, including Germany, the Netherlands,[19] Switzerland,[20] Sweden,[21] and others.

[22] The song also found success in other regions, including Oceania and North America: it reached number one in Australia, New Zealand and Canada, and became a top ten hit on the U.S.

[23] Like much of the Bliss Corporation's music videos, this one was done in a green screen garage studio at BlissCoMedia,[24][25] and it featured computer-generated graphics that were done in 3ds Max.

Former BlissCo employee Davide La Sala has talked about coming up with the story for the video: "We had brainstorming sessions and we were a very imaginative team, huge fans of sci-fi movies and video games: Blade Runner, Star Wars, etc… we were master in doing our best and working with the few tools we had to create complete short stories in a very short period of time.

[27] The video takes place on Tukon4, where lead singer Jeffrey Jey is abducted by blue-coloured aliens Zorotl and Sayok6 during a concert.