Camera phones still have a little bit to go before they can be truly competitive with even cheapo point-and-shoots. I think the appeal is largely convenience, but when it comes down to it... When we weigh camera phone vs point-and-shoot, as you said, ask what your expectations are. If you want something that takes functional, memory pictures, not anything you'll print, and end up with a bunch of pictures that are decent enough with a few great ones, things you just want to take, upload onto Facebook, or the extent of your photoediting is an Instagram filter, and then you're done with it... Sure, a camera phone is fine. If you want something that gives a better overall picture, more flexibility with the picture and how it can be used, even if you want pictures to print off and display at home, you may find the camera phone extremely limited. An 8 MP phone (or a 6 or 4 MP... There's a lot of those running around) will not yield a picture that would look as good or be as flexibile if you used a basic, cheapo point-and-shoot. $100 gets you a 16 MP camera, which is going to give a final product that is certainly noticeably different, delivers consistent results, and performs better in a wider range of environments. It's a big difference from an 8 MP phone camera.
I'm not knocking camera phones... I use mine constantly, I'm addicted to Instagram, and there are countless pictures I've gotten simply because the convenience and availability of a camera phone allowed me to get it. But it has a time and place, and I think some people may be disappointed at the quality and usability of pictures that come from relying on camera phones to be the main mode of capturing memories on a several thousand dollar vacation. If keeping pictures that are going to look consistently good over the years, with usable quality and an appearance beyond an "I was here" picture is even a little important to somebody, a small point-and-shoot is the way to go. They're smaller then a cell phone, at least mine is, and no hassle to carry.
I'm not sure phone photography isn't a statement on simplicity as it is convenience. And I don't know what anybody's ultimate intentions are with the pictures they take, I was just stating that if one is going to do anything beyond taking a picture and uploading it, or if they want to print or edit it, then camera phones won't be for you. If somebody just wants to take it and keep on going, they don't want to edit it, print it, or have it as anything other then a memory they scroll through on a Facebook album, then maybe they can get by with a camera phone. There's nothing wrong with doing things that way... My first trip in 2011 I did that. I was happy with it at the time, but disappointed with it since. I wish I'd taken more and better pictures.