Consumers in India are feeling the inflationary heat. Expenses are rising faster than income and wallets are being squeezed.

Four key areas of consumption will help drive tens of billions of dollars in sales across rural India in the coming years.

As the Indian consumer’s purchasing power has evolved, so too has the Indian retail landscape, which must now cater to an increasingly savvy and connected shopper.

A bold outlook of ongoing growth around the consumer was delivered by a trio of Nielsen executives to Indian business leaders in New Delhi today.

With increased access to broadband networks, a proliferation of WiFi sites and a burgeoning smartphone market, it is little surprise that residents of six countries in Southeast Asia are going online with gusto. But what is really raising eyebrows is the fact that in some of these countries Internet usage is now surpassing traditional media such as TV, radio or print.

The top reason for following or liking a brand, company or celebrity on social networking sites is to receive discounts and special offers, according to a recent survey of global online consumers conducted by Nielsen.

With confidence falling for the seventh consecutive quarter in 31 of 56 global markets according to third quarter global online consumer confidence findings from Nielsen, consumers around the world are more sensitive than ever regarding their future spending budgets.

“Third quarter was volatile and challenging for global economies and financial markets amid stagnant U.S. unemployment figures and a worsening euro zone debt crisis,” said Dr. Venkatesh Bala, Chief Economist at The Cambridge Group, a part of Nielsen. “A recessionary mindset is growing among consumers.”

The strong growth in FMCG sales value in 2010 has continued into the first half of 2011, but this is increasingly being driven by inflation as volume growth has slowed down.

Consumers today are increasingly mobile and as technology advancements continue around the world, retailing will evolve to keep pace. And while online shopping has shown impressive growth momentum over the past few years in industries such as travel, publishing, electronics and even clothing, the pace of change has been much slower for consumer-packaged goods.