That's because your experience is limited to development only. There's a lot more steps involved in making a successful app or a site. Brand identity, architecture, UX design (mockups/wireframes), and UI design are all steps that have to be done BEFORE development even starts. The cost of that can be 20-30K by itself.
There's also the cost of QA on different platforms, system analysis, professional copy, etc. So yeah, his quote is actually on a low end.
Too many people seem to think that they can get away with hiring a developer only.. then they wonder why their app/site doesn't do as well as they wanted it to.
Source: I run a web/mobile development agency.