Having written several books on how to market effectively with little or no money, I definitely agree. While we don't all have to be as extreme as Google, which built one of the most profitable companies in the world without spending anything on advertising, I think all of us should be focused heavily on more creative, more interactive marketing--including content, interactive involvement tools on your website, social media actual participation (not just advertising), live appearances, etc.--only using advertising and other paid strategies sparingly if at all. This is something I can help with, BTW. For a very affordable cost, and can create a entire marketing plan for you, rooted in these kinds of strategies as they make sense for your particular business/skill set/interests.
If someone is spending more on marketing than on operations, I'd worry about their long-term viability.