Spam is a brand name of luncheon meat. It's name is a contraction of the words "spiced ham." Years later, the term "Spam" was used to describe junk e-mail.
This song first appeared on the the 25th episode of the TV show Monty Python's Flying Circus, which was titled, appropriately enough, "Spam." On the show, a group of Vikings attempt to sing this song while Eric Idle and Graham Chapman (in drag) are ordering breakfast from Terry Jones, who recites the menu on which almost everything contains some spam. Terry Jones silences the Vikings until the end of the sketch, until he gives in and they sing the full version. (thanks, Connor - Stonington, CT)
Assisting the group on background vocals were The Fred Tomlinson Singers. This group worked with Monty Python on several other songs as well.
The group was known more for their comedy than for their music. All of their movies, however, featured music written by members of the band. Members of the group were: Eric Idle, John Cleese, Graham Chapman, Terry Jones, Michael Palin, and Terry Gilliam.
There are only three different words in this song. In alphabetical order these are: Lovely, Spam, and Wonderful. (thanks, Jeff - Haltom City, TX, for all above)