An ellipse of the type $$\frac{x^{2}}{a^{2}}+\frac{y^{2}}{b^{2}}=1$$can be parametrized by $x=a\cos[\theta], y=b\sin[\theta]$. So in our case we want $x=(p+p^{-1})\cos[\theta]$, $y=(p-p^{-1})\sin[\theta]$. Notice that $x,y$ are, respectively, the real and imaginary parts of $w$. But we know $w=p(\cos[\theta]+i\sin[\theta])+\frac{1}{p}(\cos[\theta]-i\sin[\theta])$, then the results are immediate. Notice that you made an arithmetic mistake in computing $w$, which may be why.
The geometrical picture is the map "dilates" the unit region by a stretch on $x,y$ coordinates, which is not intuitively clear from the formula given. But it should be clear by now.