Example 3: Sketch the gradient vector field for $f(x,y) = x^2 + y^2$ as well as several contours for this function.
The gradient of the vector field is $$ \nabla f(x,y)=2x\vec{i}+2y\vec{j}. $$
But when i plot those 2 functions, I get a vector field that doesn't make sense.

What does the Gradient vectors (the purple ones) tell me abouth the function?
They give you info about the level sets which are everywhere orthogonal to the gradient. Level sets are the results of sectioning the surface with horizontal planes and the outcome is exactly what you see in a topographic map. The longest the gradient vector, the faster the height is growing in that direction (i.e. the biggest the slope is).
In your example the gradient field is radial so you know that the level sets are circumferences, and since it is linearly growing, so is the slope (which results in a quadratic growth of the heigth).
Think of a river that flows on a hill and eventually reaches the sea. Clearly it always follows the path with highest slope which is the one the gradient is pointing to (but in the opposite direction, since water flows downward). If you see a topographic map of the hill, i.e. if you know the level sets of the its surface, the river flows orthogonally to those curves, think about it: when it reaches the sea it flows into it orthogonally with respect to the shoreline, which indeed is the level $0$ set.
EDIT:
Fix $\ell\in\mathbb R$, then the $\ell$-level set of the function $f(x,y)$ is the subset of the domain of $f$ where $f$ has value $\ell$. Briefly speaking it is the preimage $f^{-1}\big(\{\ell\}\big)$, i.e. $$ \big\{(x,y):~f(x,y)=\ell\big\} $$ If $f$ is smooth, then its level sets are either empty or disjoint unions of smooth curves and/or single points. If $f(x,y)=x^2+y^2$ as in your case, then the $\ell$-level set is \begin{align} U_\ell = ~& \big\{(x,y):~x^2+y^2=\ell\big\} \\ = ~& \begin{cases} \text{circumference with radius $\sqrt l$ centered in } (0,0) & \text{if } \ell>0 \\ \text{single point } \{(0,0)\} & \text{if } \ell =0 \\ \emptyset & \text{if } \ell<0 \end{cases} \end{align}
Example 1
The following pictures might help you understand the concept:
Here is a function pretty much as yours. On the domain the level sets are closed and shrink to a single point in the origin. As you would expect in a topographic map, that indicates that that point is either a local maximum (the top of a mountain) or a local minimum (i.e. the bottom of a lake, assuming it is an isolated point).
It is not necessary to know the exact geometry of the level sets, but studying separately the (sign of the) partial derivatives $f_x$ and $f_y$ you can figure out where the gradient is pointing at, and deduce how the level sets behave using the fact that they are orthogonal to the gradient (see the $F$ in the picture, which clearly represents the gradient vector).
Example 2
Now take a look at this:
The level sets show that there is a saddle point, in fact they do not encircle it but rather they kinda "diverge".
Hope this helps you out understanding the meaning of the level sets and how it is related the gradient field.