<p>The study aims to examine the impact of circular consumption on well-being among Generation Z and explores the mediating role of satisfaction and social approval and recognition for circular consumption and well-being relationships. A theoretical framework was proposed to explain and empirically verify the impact of circular consumption on well-being. Structural equation modeling (SEM) was used to test and validate the proposed model using data gathered from 550 respondents online. The analysis revealed that circular attitude (β = 0.63) is the most important antecedent of circular consumption behaviour followed by environmental awareness (β = 0.21). The result further confirms the mediating effect of satisfaction (β = 0.333, t = 8.723, <i>p</i> &lt; 0.05) and social approval (β = 0.279, t = 4.737, <i>p</i> &lt; 0.05) for circular consumption and well-being relationships. The R² of circular behaviour on consumer well-being is 0.791. The findings of the study will help marketers to explore ways to communicate consumers’ well-being through circular consumption. Marketers can engage with a growing segment of consumers who want simple, high-quality, and circular product selections by promoting habits like re-use, repair, and product longevity. These findings broaden existing literature by shifting focus from purely environmental motivations toward psychological fulfillment and societal validation.</p>