There is a geometric meaning to the difference between primary and prime as I will explain. Let me first recall some useful definitions:
Definition: Let $f: X \to Y$ be a morphism of schemes (you can think of affine scheme throughout and it will not make any difference), the scheme-theoretic image of $f$ is the universal (w.r.t. inclusion) closed subscheme of $Y$ though which $f$ factors.
Definition: A open subscheme $U \subset X$ is scheme-theoretically dense if for every $V \subset X$ open the scheme theoretic image of $U \cap V \subset V$ is $V$.
Definition: With notation as above $U$ is naively dense if $U \subset X$ is dense when we consider $U$ and $X$ as topological spaces (forgetting the structure sheaves). Equivalently we could ask for $U \subset X_{\text{red}}$ is scheme theoretically dense where $X_{\text{red}}$ is the underlying reduced scheme of $X$.
I hope you are convinced that these definitions are very natural and useful generalizations of concepts from point-set topology. We now have the following statements:
Let $I \subset R$ be an ideal of a ring $R$ (noetherian - not sure if this is needed here...). Then:
- The radical $\sqrt{I}$ is prime iff any open subset $U \subset \operatorname{Spec}R/I$ is naively dense.
- The ideal $I$ is primary iff any open subset $U \subset \operatorname{Spec}R/I$ is scheme-theoretically dense.
This statement is pretty straightforward to prove. The main thing one needs to use in order to prove this is the following (slightly non-trivial) statement:
Proposition: An open subset $U \subset X$ in a locally noetherian scheme is scheme theoretically dense iff it contains all associated points of $X$.
Recall: Associated points of $\operatorname{Spec}R$ are the associated primes of $R$.
So to summarize: Primary means geometrically that the scheme cut out by the ideal is not only irreducible but also has no embedded points. So an ideal with $\sqrt{I}$ prime and $I$ not primary cuts out a scheme which necessarily will have an embedded point. In your example $R= k[x,y,z] / (xy-z^2)$, $I=(x^2,xz,z^2)$ so $\operatorname{Spec}R/I$ is a nilpotent thickening of line (in 3-space) with an embedded point at the origin (this embedded point is in some sense equipped with an infinitesimal arrow pointing in the direction of the $x$-axis - reminiscent of the fact that intersecting $\operatorname{Spec}R$ with the $(x,y)$-plane ($\{z=0\}$) gives the union of the $x$ and the $y$ axes).