I looked at Carvana before deciding on buying a used car from CarMax. The big problem was that I can not test drive the car from Carvana before committing. The return fee if I didn't buy the car made it too risky.
At CarMax, I could see, drive, and smell (darn smokers!), the used car. The "no-haggle" experience at CarMax still turned into a haggle for upgrades, just not the base price.