Funny, my views aren't that different.
D&D spawned its own fantasy genre. But, it does a crummy job simulating any prior genres - high fantasy, sword and sorcery, et al. Can never shake the feeling when playing D&D that it's just a game.
Conan does a pretty solid job of working with painful D20 mechanics to capture a sword and sorcery feel. For instance, rather than characters being defined by their crap (especially a problem in pre-D20 D&D versions), Conan character competence is largely internal. While it's common in fantasy for characters to have some uber magic item, it's more a matter of having it because the character is special not the character being special because the character owns it.
As an example, I like how much attributes bump - I like the idea that PCs are just better than normal people and high attributes reflect that.
Similarly, skills seem to matter a great more in Conan due to the lack of reliance on magic and a lack of reliance on "just kill it" to solve problems. I like how classes on average do a lot better with skill ranks than D&D classes; however, I lament that most of the classes don't get even more ranks per level so that they have more areas of competence.
I may not care anything about the character of Conan, but I like the setting and I think the game has done a good job of laying out that setting. Even if you haven't read the stories, it's possible to relate to the different cultures of man, in turn, making it easier to relate to this game. D&D, meanwhile, taught me to hate elves and dwarves in games because they took iconic races and turned them into silly game options.
Not just for the above reason, but Conan feels pretty well grounded while at the same time having a fantasy element. This likely also has something to do with a more flavorful magic system than the highly gamey D&D one.
I like the concept of reputation. Again, it moves the emphasis away from the acquisition of stuff, which I don't find having relevance to greatness, to characters doing things that lead to greatness. But, the execution blows; we've hardly ever used the mechanic and can't even keep straight what the number should be for a given situation. It can be a way to reward players for in game play, which helps deemphasize such out of game concerns as "when do I level up next?".
There's something to the concept of allegiances, but I find them even more poorly executed than rep. There should be a lot more ways that allegiances impact mechanics in meaningful ways if someone is going to bother with tracking them at all, otherwise they are just flavor that don't really need any mechanical component.