A parent posting a video on youtube is free. A parent or player filling out a recruit questionnaire on scout or rivals is free. A parent or player making a highlight tape and sending to the schools they are most interested in will cost them time on their computer with some minor editing skillz, and postage to mail the thing. A couple bucks, maybe $10 if you want to spring for priority mail.
The OP asked why this kid didn't have a profile on the services, and others said they couldn't find video.
Creating a profile and uploading video is not costly. As you'll note, I said nothing about "all star showcases" and paid websites. I am telling the average "I'd like to play sports in college" player about the inexpensive things the player/family can do to get the name out there, especially when he attends a smaller low-profile school.
I've helped numerous kids do those things (free video, creating a player sheet or sport resume, teaching the ins and outs of contacting coaches and recruiting coordinators.)
None of it costs more than the cost of blank CDs, labels and postage.
And yes, the talented kids can get found this way. No money making scam, and I have never charged a kid for anything, nor would I.