I also hate favored class. They seem arbitrary, stereotypical, and just seem to get in the way, a vestigial stump of racial level restrictions/limits of prior editions. It even seems to make no sense sometimes. An elf is punished if he decides to start training as a druid or ranger after 2nd level, but both very stereotypical "elf" things. In 1st Edition Half-Orcs were the quinessential assassin race, so why are they potentialy penalized for becoming a Rogue (the quickest path to assassin, and the core-class analog of it). Why are Aasimar favored as Paladins, when they are just as likely to be Neutral or Chaotic good? It must be pretty bad to be the child of an Guardinal who's a NG Aasimar and has effectively no favored class.
I don't want to reward characters for being stereotypical, and I wonder about the potential abuses of bonus feats every 5 levels like in the Conan thing.
I ditched Favored Class in my campaign and never looked back. I did realize that possibly the "Favored Class: Any" was a racial edge for Half-Elves and Humans, so I gave any race that has "Favored Class: Any" the ability to make any one of their class skills they have at 1st level into a permanent class skill. A minor perk, but it doesn't come up unless they multiclass (and even then, out of the same archetype).
Unlike bonus feats for playing a favored class, this doesn't let you qualify for any PrC or feat chain earlier, it only gives a slight skill perk that you don't have to pay extra to keep a single skill maxed out if you multiclass