Carmax, while a bit more in my wheelhouse, just doesn't make sense to me. Why would anyone pay their prices? Folks do, obviously. I don't get it.

Well, this is why:
1. Carmax is "easy". You search on their website, choose a car, go in a test drive it, and then buy it. No hassle, no haggle, really quick process. They will even ship the car to your nearest location (sometimes for a fee).
2. Carmax is generally fair. Yes, they sometimes have higher prices than others, definitely higher than private party, but still generally fair pricing.
3. There's carmax, autonation, sleazy dealers, and private party. Automation and Carmax are pretty much the same. Sleazy dealers will always try, and usually succeed, to rip you off one way or another. And private party is a huge pain and very time consuming.
4. Carmax trade ins, or just plain sales, are VERY quick and easy. Yes, they might pay a little less than others, but they pay right away with no hassle at all.

We've purchased 3 cars at Carmax, and sold 2 cars to carmax over the last 10 years or so. And we are almost entirely satisfied. The only other auto deals that beat their easy process is Tesla sales.