I come across this all the time. People are hesitant to spend money on SEO or even PPC. The problem is that with such services, especially SEO, they don't get a tangible work-product in return for their money, at least not right away. They have to pay for the work, wait a while and then start seeing the results. This is different than paying $10,000.00 for a website, and see its progression as the developer works it to completion.