I'm not gonna say it needs to die, but it definitely feels forced. If someone gives me a "Hail State" when I'm not expecting it, like at an airport or something, it is awkward. I usually just respond with "yeah" or "oh ok" or maybe "go dogs." But if somebody hits me with a "go state" or "go dogs" like they have for the majority of my life, I instinctively reciprocate. I realize it's just different words saying the same thing, but it feels weird saying "hail state."
Eta: and it's stupid on the jerseys.