diff --git a/config/custom_components/example.py b/config/custom_components/example.py
index 51565d00d89..b47f2706f9e 100644
--- a/config/custom_components/example.py
+++ b/config/custom_components/example.py
@@ -1,32 +1,120 @@
 """
 custom_components.example
-~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
+~~~~~~~~~~~~~~~~~~~~~~~~~
 
-Bare minimum what is needed for a component to be valid.
+Example component to target an entity_id to:
+ - turn it on at 7AM in the morning
+ - turn it on if anyone comes home and it is off
+ - turn it off if all lights are turned off
+ - turn it off if all people leave the house
+ - offer a service to turn it on for 10 seconds
 """
+import time
+import logging
+
+from homeassistant.const import STATE_HOME, STATE_NOT_HOME, STATE_ON, STATE_OFF
+import homeassistant.loader as loader
+from homeassistant.helpers import validate_config
+import homeassistant.components as core
 
 # The domain of your component. Should be equal to the name of your component
 DOMAIN = "example"
 
 # List of component names (string) your component depends upon
-# If you are setting up a group but not using a group for anything,
-# don't depend on group
-DEPENDENCIES = []
+# We depend on group because group will be loaded after all the components that
+# initalize devices have been setup.
+DEPENDENCIES = ['group']
+
+# Configuration key for the entity id we are targetting
+CONF_TARGET = 'target'
+
+# Name of the service that we expose
+SERVICE_FLASH = 'flash'
+
+_LOGGER = logging.getLogger(__name__)
 
 
 # pylint: disable=unused-argument
 def setup(hass, config):
-    """ Register services or listen for events that your component needs. """
+    """ Setup christmas. """
 
-    # Example of a service that prints the service call to the command-line.
-    hass.services.register(DOMAIN, "example_service_name", print)
+    # Validate that all required config options are given
+    if not validate_config(config, {DOMAIN: [CONF_TARGET]}, _LOGGER):
+        return False
 
-    # This prints a time change event to the command-line twice a minute.
-    hass.track_time_change(print, second=[0, 30])
+    target_id = config[DOMAIN][CONF_TARGET]
 
-    # See also (defined in homeassistant/__init__.py):
-    # hass.states.track_change
-    # hass.track_point_in_time
+    # Validate that the target entity id exists
+    if hass.states.get(target_id) is None:
+        _LOGGER.error("Target entity id %s does not exist", target_id)
+
+        # Tell the bootstrapper that we failed to initialize
+        return False
+
+    # We will use the component helper methods to check the states.
+    device_tracker = loader.get_component('device_tracker')
+    light = loader.get_component('light')
+
+    def track_devices(entity_id, old_state, new_state):
+        """ Called when the group.all devices change state. """
+
+        # If anyone comes home and the core is not on, turn it on.
+        if new_state.state == STATE_HOME and not core.is_on(hass, target_id):
+
+            core.turn_on(hass, target_id)
+
+        # If all people leave the house and the core is on, turn it off
+        elif new_state.state == STATE_NOT_HOME and core.is_on(hass, target_id):
+
+            core.turn_off(hass, target_id)
+
+    # Register our track_devices method to receive state changes of the
+    # all tracked devices group.
+    hass.states.track_change(
+        device_tracker.ENTITY_ID_ALL_DEVICES, track_devices)
+
+    def wake_up(now):
+        """ Turn it on in the morning if there are people home and
+            it is not already on. """
+
+        if device_tracker.is_on(hass) and not core.is_on(hass, target_id):
+            _LOGGER.info('People home at 7AM, turning it on')
+            core.turn_on(hass, target_id)
+
+    # Register our wake_up service to be called at 7AM in the morning
+    hass.track_time_change(wake_up, hour=7, minute=0, second=0)
+
+    def all_lights_off(entity_id, old_state, new_state):
+        """ If all lights turn off, turn off. """
+
+        if core.is_on(hass, target_id):
+            _LOGGER.info('All lights have been turned off, turning it off')
+            core.turn_off(hass, target_id)
+
+    # Register our all_lights_off method to be called when all lights turn off
+    hass.states.track_change(
+        light.ENTITY_ID_ALL_LIGHTS, all_lights_off, STATE_ON, STATE_OFF)
+
+    def flash_service(call):
+        """ Service that will turn the target off for 10 seconds
+            if on and vice versa. """
+
+        if core.is_on(hass, target_id):
+            core.turn_off(hass, target_id)
+
+            time.sleep(10)
+
+            core.turn_on(hass, target_id)
+
+        else:
+            core.turn_on(hass, target_id)
+
+            time.sleep(10)
+
+            core.turn_off(hass, target_id)
+
+    # Register our service with HASS.
+    hass.services.register(DOMAIN, SERVICE_FLASH, flash_service)
 
     # Tells the bootstrapper that the component was succesfully initialized
     return True
diff --git a/homeassistant/__init__.py b/homeassistant/__init__.py
index 74f27b9f6f5..b7b0f8ef439 100644
--- a/homeassistant/__init__.py
+++ b/homeassistant/__init__.py
@@ -207,7 +207,7 @@ class HomeAssistant(object):
 
 def _process_match_param(parameter):
     """ Wraps parameter in a list if it is not one and returns it. """
-    if not parameter or parameter == MATCH_ALL:
+    if parameter is None or parameter == MATCH_ALL:
         return MATCH_ALL
     elif isinstance(parameter, list):
         return parameter