Really, that is your answer? Fran is in his second season for recruiting and Iowa has been one of the worst programs in the Big Ten for a few years. There has been so much negativity about Iowa for over a decade and it is going to take time to change that aura around the program.
I agree a little bit with the OP, Hubbard didn't play a game and everyone is all emotional about this.
This opens up a scholarship for 2013, that is not a bad thing.
As far as having trouble saying "yes" it should be expected, but then a player like Meyer says "yes" to Iowa and it tells me that there is still a lot of good players available for the 2012 class and Iowa has legit shots to get them. I am surprised at this point how many of the top 250 players haven't said "yes" to anyone yet. Fran has had one player leave at this point, he is still light years ahead of previous Staff's retainment record. He has had 8 players say "yes" to Iowa and one has walked away leaving Iowa with 7 players after not even two full recruiting seasons at work.
This may be veiwed as a setback today, but it will be a minor setback in the big picture.