i know what you're saying about google inserting your correct name into posts and the playstore; in the playstore the first time i saw it, i was like what the hell... after having used google now features for a while though i'm willing to put up with the intrusions b/c many things are so much simpler and take less time.
google now has its own set of features completely separate from google search, but GS has been and is being developed to integrate with GN, so using the google search bar without setting up GN is still going to have its own set of general features, but as far as I am aware personalized search features like saying "how do i get home" instead of "how do i get to 1234 random st" have to be set in GN. GS minus GN, saying "1234 random st" will still give you traffic delays.
its tough to describe what all the features of GN are b/c its not like you just open up GN and then see the features; they show up in other things like notifications or other google apps. so chances are, instances like features you're talking about when you say " I just read you can do it but no explanation how?" are things you'd see after having GN setup for a little while; i mean its not really an exaggeration to say it's learning about you (only i find its not creepy, the way it sounds)