This study evaluates the impact of artificial intelligence (AI) applications on tourism development at key destinations in Southern Vietnam. Employing a convergent parallel mixed-methods design, we collected quantitative data through an online survey of 350 domestic and international tourists and qualitative insights via 12 semi-structured interviews with industry stakeholders. Hierarchical multiple regression analyses reveal that recommendation engines significantly enhance visitor satisfaction (β = 0.42, p <0.001), chatbots predominantly improve perceived operational efficiency (β = 0.35, p < 0.001), and dynamic pricing exerts a moderate positive effect on both outcomes (β ≈ 0.15–0.17, p < .05). Thematic analysis identifies infrastructure readiness, human capital and managerial support, regulatory clarity, and government incentives as critical determinants of AI adoption. Monte Carlo simulations further demonstrate synergistic gains when deploying recommendation engines, chatbots, and dynamic pricing in combination, suggesting multiplicative benefits beyond individual effects. These findings underscore the importance of integrated AI strategies—supported by robust data infrastructure, comprehensive workforce training, and clear policy frameworks—for fostering sustainable tourism growth. Implications for destination managers and policymakers include phased implementation of AI tools, strategic investment in digital infrastructure, and the development of tourism-specific data-privacy regulations to mitigate adoption barriers.