The Oren-Nayar-Blinn shader is a variant of the Blinn shader. It contains additional "advanced diffuse" controls, Diffuse Level and Roughness, that you can use to give the material a matte effect. This shader is good for matte surfaces such as fabric, terra cotta, and so on.
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Material Editor > Standard Material > Shader Basic Parameters rollout > Choose Oren-Nayar-Blinn from the drop-down list.
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Material Editor > Raytrace Material > Raytrace Basic Parameters rollout > Shading drop-down list > Choose Oren-Nayar-Blinn.
Oren-Nayar-Blinn shading typically has a matte appearance.