The command itself is correct. However, if you are using additional .vibs, you may consider to use esxcli software vib update -d patch.zip instead.
Remember that the command can only be used for patches, i.e. no host upgrades!
Anyway, I recommend you first test-run the command using by appending the "--dry-run" argument to the command line, to determine which .vibs will be replaced/updated.
André