The difference is, I'll take a compact camera when I wouldn't take an SLR unless I'm going to an event where I know my SLR would make a big difference.
I used my phone camera at an event in a poorly lit hall last weekend and the pictures aren't great - fortunately the burst mode on my One X+ captured some decent ones. Now I knew I wasn't lugging my SLR on the flight with me, but I do wish I'd taken my compact camera. Even though it's 5 years old it's still consistently better than a smart phone camera because it has a better lens, a better depth of field, better flash, and some optical zoom to play with.
Smart phone cameras are at one end, SLR's are at the other. Compact cameras sit in between. The gap in between might be narrower than it was 5 years ago, but that just makes things better for the consumer. :-)