The visitors had threatened a huge result as they trailed 15-13 at the break after Filo Paulo's first-ever try for the region capped an opening 40 minutes crammed full of desire and effort.
The Top 14 side opened the second half in devastating fashion with three tries in six minutes - as Blues lost two players to the sin bin - to ensure the result was secured.
However, Blues never let their heads drop in hostile surroundings and were rewarded with a try from Sam Hobbs in the second half.
"We did well in the first half and when it was 15 versus 15 we were in the game," said Davies.
"We knew we needed to start the second half well, but we picked up some cards and with the power they have got it was tough.
"We kept going through the course of the game and when both teams had 15 we were competitive and looked good. The cards cost us and it was tough on us.
"The first half was excellent," he added. "We were still disappointed with some of the penalties we gave away in the first half.
"But we kept going and scored a great try and defended marvelously well at times. We were pleased at half-time and we were looking forward to going out and having a strong second half."
Blues suffered four yellow cards in the game with a late sin bin to Robin Copeland ensuring Toulon snatched a try bonus in injury time.
But Davies would only look at his own team's performance and not that of the officials.
"I need to look at the yellow cards and ourselves, although it seems a bit heavy on one team. The referee was decisive, that is for sure, so we will look at it," he said.
"Toulon are a very powerful team, but when it was eight against eight up front I felt we had some decent parity. Sometimes we were going back and they were going back too because of the pitch, it was a reset really from our point of view but that is not what happened.
"We were delivering as much as we possibly can when we had 15 against 15," he added.
"In the two games we have had with Toulon, and four games over the last two years, we have acquitted ourselves exceptionally well.
"It is one win out four, but when you look at the strength they have, we have performed well and had a famous win at home. For the young group we have, it will be a good experience to lean on in years to come. "